Britain to demand exemptions from Trump's steel tariffs
Jonathan Reynolds said that he would raise the tariffs issue as soon as the US Senate confirms the appointment of Howard Lutnick, Mr Trump's pick for commerce secretary.
Mr Reynolds added that while there was 'significant overcapacity' around the world in steel, the UK was not the cause of it, and that the US defence industry relied heavily on British imports.
'I think there's a basis for a discussion,' he said.
Mr Trump announced 25pc tariffs on worldwide steel and aluminium imports on Monday, saying they would come 'without exceptions or exemptions' and that the UK would not escape them.
'We have a huge deficit with the UK. Big difference,' Mr Trump said.
When asked about the tariffs on Thursday, Mr Reynolds said: 'Specifically on the steel and aluminium issue, there is significant overcapacity around the world. I understand that [and] we have similar concerns around that, but we're not the cause of that.
'Our steel sector is very small relative to the size of our economy. I think it should be bigger. If you look at the kind of products we are sending to the US in steel, aluminium, they're either quite sensitive defence ones from Forgemasters in Sheffield, or they're parts of the wider US manufacturing supply chain.
'So I'll be seeking to engage as soon as the Senate confirms my counterparts on the policies they put forward.
'I believe we can engage with them on their agenda. And I do feel that where there are concerns about the global steel and aluminium industries, very strong cases. The UK is not the problem within that. I think there's a basis for a discussion.'
Mr Trump introduced a tariff on steel in 2018, and Joe Biden relaxed the restrictions in 2022, with some UK exporters also securing exemptions. UK Steel, the industry lobby group, called this week's announcement 'a sledgehammer to free trade'.
Mr Reynolds said it was not in the national interest to put tariffs on Chinese electric vehicles, saying that retaliation from Beijing would damage the UK carmaking industry.
He was speaking after he announced a new 'strategic steer' for the Competition and Markets Authority that will urge it to speed up investigations and focus on UK issues, in contrast to many of the big tech investigations the regulator has launched in recent years.
Mr Reynolds suggested the UK might need fewer regulators in future as part of a red tape cutting drive, saying: 'We've also got to genuinely ask ourselves the question, have we got the right number of regulators?'
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The White House has also offered to play host to a trilateral summit between the Russians and Ukrainians if the deal is within reach. Speaking following Friday's talks, where he met with his Russian counterpart for the first time in six years, President Trump insisted it was 'a great and very successful day in Alaska!' He wrote on his Truth Social website: 'The meeting with President Vladimir Putin went very well, as did a late night phone call with President Zelensky and various European Leaders, including the highly respected Secretary General of Nato. 8 PM Sir Keir Starmer said Mr Trump's 'leadership in pursuit of an end to the killing' should be commended Credit: Getty 8 France's Emmanuel Macron and Italy's Giorgia Meloni, said: 'We are clear Ukraine must have ironclad security guarantees to effectively defend its sovereignty and territorial integrity' Credit: Getty 'It was determined by all that the best way to end the horrific war between Russia and Ukraine is to go directly to a Peace Agreement, which would end the war, and not a mere Ceasefire Agreement, which often times do not hold up. 'President Zelensky will be coming to D.C., the Oval Office, on Monday afternoon. If all works out, we will then schedule a meeting with President Putin. 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But the PM warned: 'While progress has been made, the next step must be further talks involving President Zelensky. 8 Negotiations would begin about ceding control of the Donetsk and Luhansk regions of Eastern Ukraine, pictured a soldier loading artillery Credit: Getty 'The path to peace in Ukraine cannot be decided without him. I spoke to President Zelensky, President Trump and other European partners, and we all stand ready to support this next phase. I welcome the openness of the United States, alongside Europe, to provide robust security guarantees to Ukraine as part of any deal. 'In the meantime, until he stops his barbaric assault, we will keep tightening the screws on his war machine with even more sanctions, which have already had a punishing impact on the Russian economy and its people. 'Our unwavering support for Ukraine will continue for as long as it takes.' In a joint statement, Sir Keir and European leaders, including France's Emmanuel Macron and Italy's Giorgia Meloni, said: 'We are clear Ukraine must have ironclad security guarantees to effectively defend its sovereignty and territorial integrity. 'No limitations should be placed on Ukraine's armed forces or on its cooperation with third countries. Russia cannot have a veto against Ukraine's pathway to EU and Nato." 8 Italian leader Giorgia Meloni made a joint statement with Macron Credit: The Mega Agency
