UK Steel Sector Stares at Rapid Slump in Trade

SEATTLE (Scrap Monster): The UK steel industry expressed fears that the steelmakers in the country may likely witness an immediate slump in trade starting this New Year, as its rivals in the region will see notable price advantage due to the agreement between the EU and the U.S. to remove tariffs on steel imported from the bloc into the U.S.

The talks between the U.S. and UK authorities failed to arrive at a consensus, as a result of which the tariffs will continue to remain in effect for all UK steel and aluminum exports to the U.S.- one of UK’s key export markets. The bilateral discussions between Anne-Marie Trevelyan, UK’s international trade secretary and the US commerce secretary are expected during the month of January. However, industry sources are not optimistic that a deal will be reached during the meeting.

The UK steel exports to the EU region could also be impacted, due to the clause in the EU-U.S. agreement, which states that steel originating in the UK will still attract the tariffs even if worked on and exported by EU companies.

The UK Ministry denied allegations that the failure to reach a deal with the US was linked to Brexit.

However, it remains a fact that the UK steel exports to the U.S. have more than halved since the introduction of tariffs by the Trump administration in 2018.

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