The association welcomed the new quota regime, describing it as an important step toward strengthening the UK's industrial resilience. In its statement, UK Steel also thanked the ministers and officials of the Department for Business and Trade (DBT) for their engagement and constructive approach throughout the process.
Impact of global overcapacity on investment
UK Steel stated that global steel markets continue to be distorted by subsidized overproduction, particularly from China. It emphasized that it is vital for the UK to maintain effective trade measures to support domestic production capacity, employment, and investment. According to the association, the revised framework will provide greater certainty for domestic producers and, in some cases, is already helping unlock investment, increase capacity utilization, and support growth plans.
Industry concerns over quota arrangements
While welcoming the new measures, UK Steel noted that concerns remain regarding several product categories. The association stated that the latest arrangements for galvanized steel, packaging steel, hollow sections, and certain wire products continue to expose parts of the UK's steel supply chain to import pressure. It also called for greater clarity on how future quota volumes will evolve as domestic production capacity recovers and expands.
The statement further emphasized that steel is a strategic foundation industry underpinning the construction, manufacturing, energy infrastructure, transport, and defense sectors. Maintaining domestic steel production, it noted, is not only about protecting companies but also about preserving sovereign industrial capability, resilient supply chains, and high-value jobs. UK Steel concluded that it will continue working closely with the government to address the remaining issues and ensure that the trade regime continues to provide the support needed for a competitive and sustainable steel industry.
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