The UK’s Trade Remedies Authority (TRA) has launched a review of tariff quota exemptions on steel imports from developing countries, according to an official agency report. The investigation will assess trade data covering the period from January 1 to December 31, 2024.

Currently, developing countries that are WTO members and account for less than 3% of total UK steel imports are exempt from protective trade measures. However, the TRA’s preliminary analysis suggests that import volumes from certain developing nations may have changed since the application of these safeguard measures, warranting a review.

According to Argus Media, this review could result in safeguard measures being imposed on hot-rolled coil (HRC) imports from Vietnam, which accounted for over 42,000 tons of UK steel imports from non-EU countries last year. Egypt, which held more than a 6% share of UK steel imports from third countries in 2024, may also be affected.

Market participants have until March 14 to submit comments on the proposed changes.

Concerns Over Trade Shifts and Import Restrictions

British steelmakers have raised concerns about a potential shift in global trade patterns due to policy changes in the US and EU. Industry representatives have urged the UK government to take swift action to prevent an influx of diverted steel imports.

These concerns stem from the upcoming US tariffs on steel and aluminum, set to take effect on March 12, as well as the EU’s revision of its own steel safeguard measures, which could significantly curb imports. The UK Steel industry association has pointed out that while UK import quotas are gradually being liberalized, domestic demand for steel is on the decline.

The association is preparing a proposal urging the UK government to strengthen protections against potential import surges, particularly in light of the possible expiration of existing steel safeguard measures. One option under consideration is the introduction of a general tariff on all steel imports, with the exception of hot-rolled coils (HRC) intended for further processing.

UK’s Position on US Tariffs

Meanwhile, the UK is working to secure an exemption from US tariffs on steel and aluminum, emphasizing the strategic importance of British steel products to the US defense and manufacturing industries. London is seeking to negotiate terms that would prevent its steel exports from being affected by the new trade barriers.