A potential change that includes reducing the amount of steel allowed for duty-free import into the country, as previously reported. SteelOrbis, will occur at a time of increasing global pressure on the steel market, driven by global oversupply and rising exports from China. Many countries have already taken steps to strengthen trade protection, and the UK is currently reviewing whether its current structure remains suitable for this purpose.
Potential impact on domestic producers
If the government moves forward with stricter quotas, the consequences for Tata Steel UK and the entire domestic industry could be significant:
- More equal conditions as British steelmakers compete with heavily discounted imports
- Reducing market distortions, where current quotas sometimes exceed total UK demand in certain categories.
- Expansion of opportunities for domestic supply, potential stabilization of the order portfolio during a period of weak global demand.
- Closer alignment with trading partners, helping the UK avoid becoming a destination for redirected low-cost imports.
Vlad Darakhan,
