UK 25% steel tariffs are creating hope and uncertainty for the steel industry
The 25% steel tariffs are creating both hope and uncertainty for the UK steel industry, especially as the exemption may only be temporary, say leading audit, tax and business advisory firm, Blick Rothenberg.
Simon Gleeson, head of US Corporate desk at the firm, said: “The exception of the UK from 50% US steel tariffs is more of a reduction, as the UK still faces a steel tariff of 25%. This is creating both hope and uncertainty for the UK steel industry, who are better off than they may have feared, but still have to navigate higher costs when trading with the US.”
He added: “The exemption may also be temporary, as Donald Trump has stated that if the UK US trade deal is not sealed by 9 July, the tariffs will jump to 50%, Putting increasing pressure on UK trade ministers to close a trade agreement with the US.”
Simon said: “But even if the 25% tariff rate remains, there is no clarity as to how UK-based manufacturers will manage the US client-base mid-to-long-term. And the UK seeming to align with US positions on trade could create tension with the EU and other trade partners as the UK negotiates other arrangements.”