Secretary of State for Business, Jonathan Reynolds, stepped in to back measures to better protect British steelmakers from the growing threat of cheap imports being diverted from the US and EU markets.

The UK Government has notified the World Trade Organisation of its intended final decision in the safeguards review:

•    Introduction of a 15% cap on the use of the ‘other countries’ quota* for galvanised steel by a single country (instead of a 40% cap initially proposed by the TRA) effective from 1 July 2025.
•    Carry-over: Removal of the carry-over of unused quota between quarters, where countries that had not exported all their allowance of steel to the UK during a three-month period could then roll the allowance over to the next period.
•    Residual quota: Countries with individual quotas cannot use any unused “other countries” quotas in last quarter.
•    The annual increase in the tonnage allowed to be imported will only be raised by 0.1% rather than the expected 3% annual rise – protecting the UK industry in the future from thousands of additional tonnes of cheap steel being imported..

Russell Codling, Sales Director Tata Streel UK, said: 

“All in all this is a great outcome and shows the Secretary of State has listened to us and understands the need for action to protect the UK steel industry."

Gareth Stace, Director-General of UK Steel, welcomed the announcement, calling it a 'tremendous outcome' that shows the Government’s commitment to the industry. He emphasized the need for further action, including a new trade defence system to be introduced in January when the current safeguards expire.

“These changes are vital in today’s challenging trading environment,” said Gareth. “They will protect UK steel producers from being overwhelmed by unfairly priced imports and help create the conditions needed for long-term investment and growth.”

“The forthcoming Trade Strategy has the potential to deliver new legislation that will equip Government with the tools it needs to defend our companies from the subsidised steel that is currently flooding steel markets at unsustainable price levels.

“The Government has made the right decision today, in response to a tough trading environment where subsidised imports undermine domestic steel production.

"With this decision, the Government is sending a strong message that it supports British industry and is prepared to act to secure its future."