Tata Steel UK CEO Rajesh Nair has responded to today's UK Government announcement of new steel quotas due to take effect from 1 July 2026.
In a statement he said: "A sustainable domestic steel industry depends on a policy framework that supports investment, protects jobs and provides a level playing field for UK steel producers. Steel remains a strategically important foundational industry for the UK economy and wider manufacturing base.
‘We do not believe the final quota levels published today reflect UK market conditions or the pressures facing the domestic steel industry. In several categories, the quota volumes continue to allow significant import penetration into strategically important UK steel markets, exposing domestic production and supply chains to continued pressure.
‘We are disappointed by elements of the final framework announced today and we are very concerned about the implications for the long-term competitiveness, sustainability, growth and future investment outlook for the UK steel sector.
‘If the Government’s ambition of building a sustainable steel industry capable of supplying 50% of UK demand is to be realised, quota arrangements will need to provide adequate support for domestic steel producers and support the long-term growth of the UK steel sector.
‘We are disappointed by elements of the final framework announced today and we are very concerned about the implications for the long-term competitiveness, sustainability, growth and future investment outlook for the UK steel sector.
‘We expect the Government to reconsider aspects of the framework and continue working with the UK steel sector to ensure a level playing field that supports domestic production, protects employment and strengthens the wider UK manufacturing supply chain.’
Trade Association UK Steel have also issued a statement in which they said: "...there are areas where the new quota has made the situation worse for UK producers, notably the final quota for galvanised steel, where DBT has more than tripled Vietnam’s allocation"
UK Steel Director of Trade & Economics, Peter Brennan went on to add: "..it is clear that there has been an opportunity missed in key areas which will leave key parts of the UK supply chain exposed to heavily subsidised imports that are currently ravaging steel industries in developed countries.”
Government announcement: UK's steel trade measure from 1 July 2026 - GOV.UK
Tata Steel UK CEO Rajesh Nair
Notes
Global steel markets remain heavily impacted by overcapacity and increasing international protectionism, with a number of major economies continuing to strengthen trade protections for domestic producers.
Tata Steel UK recognises the significant work undertaken by UK Government in developing the revised quota framework during an exceptionally challenging global trading environment for steel.
The company continues to support the principle of effective UK steel trade measures and recognises the importance of maintaining a stable and workable framework for both domestic steel production and the wider steel supply chain.
Tata Steel UK remains concerned that quota volumes in a number of product categories, including metallic coated steels (Category 4), packaging steels (Category 6) and hollow sections (Category 21), continue to permit significant import penetration and do not sufficiently reflect underlying UK market conditions or the pressures facing domestic steel producers.
Tata Steel UK has consistently engaged constructively with Government regarding the importance of ensuring that quota volumes remain aligned to UK market demand and support a sustainable long-term future for domestic steel production, investment and downstream operations in the UK.