According to the revised protection system, imports exceeding the relevant quotas are subject to a 50% duty. However, Vietnam's annual quota for metal-coated galvanized steel has more than tripled from 51,000 tons to 174,000 tons, while India's quota has increased from 98,000 tons to 125,000 tons, reportedly as part of broader trade negotiations between London and New Delhi.
Tata Steel said the combined quota of almost 300,000 tonnes for India and Vietnam represented about half of the 600,000 tonnes of galvanized steel produced annually at its Llanwern plant in South Wales, raising the risk that cheaper imports could undermine domestic production.
The company argues that the changes are taking place as the European Union and other major markets tighten restrictions on steel imports, potentially redirecting excess Asian material to the UK, while British producers face stricter environmental requirements than many foreign competitors. Tata warned that without a proper balance between fairly traded imports and domestic production, the UK could become a dumping ground and lose strategic steel production capacity supporting its broader production supply chains.
The warning comes at a time when Tata Steel is restructuring its UK operations following the closure of its remaining blast furnaces in Port Talbot, where it is investing in low-emission steel production using electric arc furnaces.
Bora KadyogluEditorI graduated from Bogazichi University with a degree in Translation and Interpretation. I have been working in the ferrous metallurgy industry for three years as a content specialist at SteelOrbis, focusing on investments in plants, steel production technologies, and import/export statistics.
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