Starting from New Year’s Day, the British steel industry will immediately respond to the decline in trade. European Union Competitors will gain a 25% price advantage and sell products to the huge US market.
The EU and the U.S. reach a consensus Halloween agreement removes tariffs From January 1st, the steel and aluminum quotas imported from the European Union to the United States, but after the government negotiations failed to achieve a matching breakthrough, all British steel and aluminum export tariffs will continue to exist.
International Trade Secretary Anne-Marie Trevelyan invited the US Secretary of Commerce to hold further discussions in London earlier this month. It is understood that these discussions are scheduled to take place in January. However, an industry source said that they are not optimistic about reaching an agreement soon.
Tariff is number one Introduced by former President Donald Trump In 2018, on the grounds of national security, in accordance with Article 232 of the Trade Expansion Law. Presumably, imports have weakened the ability of the United States to produce its own steel.
Britain’s exports to the EU may also be hit, because there is an unusually strict clause in the EU-US agreement, which means that even if EU companies produce and export, steel originating in the UK will still be subject to tariffs.
UK Steel Director-General Gareth Stace said: “Since President Trump introduced steel tariffs in 2018, Britain’s steel exports to the United States have been reduced by half. There is no doubt that these measures have severely harmed the UK’s second-largest steel exports. The interests of the market.
“While we welcome the beginning of the United States to ease tariffs, our export situation will only worsen if the United Kingdom does not reach an agreement soon and consecutively. It is vital that the government does everything possible to ensure that an agreement is reached and that the British steelmakers Able to sell their steel to the United States.”
Harish Patel, the national steel official of Unite, the union that represents many British steel workers, said the government needs to explain why the EU reached an agreement, but the UK did not, because there are reports that the US has reservations about the British threat. Unilaterally change the trade rules governing Northern Ireland after Brexit.
As part of the Brexit trade agreement with the European Union, the United Kingdom negotiated the so-called Northern Ireland Agreement only a year ago, but it has already Repeatedly stated that it might be unilaterally interruptedPresident Joe Biden warns Boris Johnson Threatening the peace on the island of Ireland.
Junior International Trade Minister Penny Mordaunt denied this month that the failure to reach a steel agreement was related to Brexit. She told Congress: “As far as some people in the United States are concerned, this story may be true, but this is a false narrative. These are two completely different issues.”
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Patel said: “It is shocking that British steel is effectively excluded from the key steel market because the continued tariffs have greatly reduced EU steel prices.
“The government must resolve this issue as soon as possible. Unless tariffs are removed quickly, hundreds of jobs in steel and related industries, most of which are so-called red wall seats, will be at risk.”
A government spokesperson said: “We recognize the important role the steel industry plays in our economy. Our first priority is to resolve this dispute to benefit workers and businesses on both sides of the Atlantic and eliminate the need for Britain to impose retaliatory tariffs. Sex. About American goods.
“Prior to reaching this resolution, the UK will continue to take rebalancing measures to defend our economic interests and the rules-based international trading system.”
