Government confirms revised steel trade measures ahead of 1 July implementation

30 June 2026

 

The UK Government has confirmed the final details of new steel trade measures due to take effect from 1 July 2026, following discussions with the European Union and concerns raised by manufacturers, trade bodies and businesses that rely on imported steel.

The revised measures are designed to protect the UK steel industry from global overcapacity while helping to maintain stable trading conditions for businesses importing and exporting steel products.

Under the final arrangements:

  • Tariff-free steel import quotas will be reduced by 51% compared with the current safeguard regime.
  • Imports exceeding the quota thresholds will be subject to a 50% tariff, increased from the current 25%.
  • Eleven categories of steel that are not produced in the UK will be exempt from the measures.
  • The Government has committed to reviewing the measures after 12 months.

The final package follows representations from organisations including the British Chambers of Commerce, Make UK and UK Steel, which called for a more balanced approach to protect domestic steel production while reducing the impact on manufacturers that rely on imported steel.

What does this mean for businesses?

For UK importers, manufacturers and engineering businesses, the new measures may result in:

  • Reduced availability of tariff-free imported steel.
  • Higher import costs where quotas are exceeded.
  • Greater emphasis on supply chain planning.
  • Potential increases in manufacturing costs.
  • The need to review sourcing strategies and contractual arrangements.

Businesses importing steel should also check whether the products they source fall within the exempt categories announced by the Government.

For UK steel exporters, the agreement provides greater certainty when trading with the EU by preserving reciprocal quota arrangements and reducing the risk of additional tariffs on qualifying exports. While the new measures are primarily aimed at imports, they should also help provide greater stability for businesses supplying steel to EU customers.

Although the revised measures provide greater flexibility than those originally proposed, businesses trading in steel should continue to monitor quota utilisation, review their supply chains and assess the impact on both imports and exports.

The announcement highlights the continuing importance of trade policy in shaping international supply chains and reinforces the need for businesses to stay informed about evolving customs, tariff and market access requirements.

 

By Carla Assunção, Chamber International

 

We can help businesses understand changing trade measures, assess customs implications and review international supply chains. Speak to our team.