UK's steel industry spared Trump's new 50 per cent tariffs – but exemption deal still not in place
The UK appears to have been spared from the immediate hit of Donald Trump 's 50 per cent steel and aluminium tariffs – although an exemption deal is still not in place.
The US president has decided to 'provide different treatment' to the UK after an agreement was struck between the US president and Sir Keir Starmer last month.
Levies will remain at 25 per cent for imports from the UK, according to a version of the order confirming the tariff increase posted by a White House X account on Tuesday – however Britain could still be subject to the higher 50 per cent rate from July.
The UK government said it is 'pleased' the UK will not be subject to the additional tariffs as it vowed to secure the removal of the 25 per cent levies too.
Sir Keir 's trade deal with the US, struck last month, included an exemption on the steel and aluminium tariffs, but the implementation has not yet been finalised.
Business secretary Jonathan Reynolds met White House trade representative Jamieson Greer in Paris on Tuesday. According to the Department for Business and Trade, Mr Reynolds and Mr Greer discussed a desire to implement the deal struck as soon as possible, and committed to working closely to make it happen.
According to the text of the order released on Tuesday, Mr Trump has 'further determined that it is necessary and appropriate to allow for the implementation of the US-UK Economic Prosperity Deal of 8 May, 2025 (EPD), and to accordingly provide different treatment, as described below, for imports of steel and aluminium articles, and their derivatives, from the United Kingdom'.
The order later says that rates will for now stay at 25 per cent and adds: 'On or after 9 July, 2025, the Secretary may adjust the applicable rates of duty and construct import quotas for steel and aluminium consistent with the terms of the EPD, or he may increase the applicable rates of duty to 50 percent if he determines that the United Kingdom has not complied with relevant aspects of the EPD'.
The 50 per cent tariff rate more widely is due to come into force from 12.01am Washington DC time on Wednesday, which is shortly after 5am in the UK.
A government spokesperson said: 'The UK was the first country to secure a trade deal with the US earlier this month and we remain committed to protecting British business and jobs across key sectors, including steel as part of our plan for change.
'We're pleased that as a result of our agreement with the US, UK steel will not be subject to these additional tariffs.
'We will continue to work with the US to implement our agreement, which will see the 25% US tariffs on steel removed.'
The general terms for the agreement between the UK and US were published in May when the deal was announced, and outline the intended plans.
White House press secretary Karoline Leavitt was asked if there was a text of the full deal ready to be released, and told reporters on Tuesday: 'There 's most definitely text with this deal, there is language that this side has seen.
'You'll have to ask the UK parliament why they haven't seen it from their own government, I obviously can't answer that question.'
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