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Donald Trump hit the UK on Wednesday, with a 25% global collection of steel and aluminum imports into the US, with Keelstrant not imposing immediate anti-crime on Washington.
Downing Street said the British Prime Minister would take a “cool” approach as he attempts to keep Britain out of the broader transatlantic war. “You won’t get a rebellion anytime soon,” said a British official.
The priorities urged the US president over a phone call to not target British steel and aluminum manufacturers on Monday, but the first Trump tariffs to be imposed on the UK early on Wednesday are in guise.
The Prime Minister pinned his hopes that Trump would exempt the UK from wider tariffs as part of the US-UK economic deal, which may have initially been focused on technology, discussed by two White House leaders last month.
The US accounted for approximately 182,000 tons of UK steel exports in 2024. This is about 7% of total exports, but 9% is worth more than £400 million.
An allies of Secretary of Business and Commerce, Jonathan Reynolds, said the minister would highlight the government’s support has already been given to the UK’s steel industry as he tries to avoid inflammation in trade relations with Washington.
Reynolds’ colleagues say that if US steel tariffs apply, the minister can issue some kind of response, but does not include the immediate wave of counterattacks of the kind seen during Trump’s first term. Authorities refused to say what it might include.
The UK in 2018, part of the EU at the time, imposed tariffs on iconic American products such as motorcycles, whiskey and jeans after Trump imposed a 25% tariff from most countries and 10% tariffs on aluminum.
These tariffs were suspended under a contract with the Biden administration in March 2022 and replaced by a tariff quota system, allowing 500,000 tons of British Steel to enter the US every year without duties.
Last week, Reynolds told Tokyo’s Financial Times that he “already exists” as he tried to “stoop up” for the UK steel industry and pressured the US administration to not attack steel tariffs.
However, the UK’s status was softened as Whitehall officials saw the view that Trump had decided to push ahead. The pastor reserves the right to reinvigorate suspended tariffs.
British officials have emphasized that only 5% of steel production by volume goes to the US, many of which are highly specialized. For example, steel made in Sheffield is used by the US Navy for submarine casings.
Reynolds, who is expected to issue a statement to lawmakers on Wednesday if US tariffs are imposed, also notes that the government has committed up to £2.5 billion to rebuild its steel sector, UK officials said.
He points to new schemes that will reduce energy costs for industries such as steel, which will take effect next month, which will reduce electricity costs for energy concentrated sectors such as iron, from £320 million to £410 million this year.
Although UK steel exports have been declining in recent years amid declining industrial declines, the US is the UK’s second largest export market after the EU.
The UK steel industry has warned that US tariffs can deal with “devastating blows” in the sector during periods of reduced demand and high cost.
Chrysa Glystra, director of trade and economic policy at UK Steel, a trade lobby group, said on Tuesday that the UK government so far had not secured exemptions from previous tariffs, despite the industry noting the minister’s efforts.
According to Glystra, there have already been seen by some UK producers, including some UK producers, anecdotal reports that US customers have suspended additional orders given uncertainty about the tariff situation.
Nadine Bloxsome, CEO of the Aluminum Federation, said UK producers have already reported “early signs of business uncertainty.”
She said the concerns aren’t just “not just the immediate loss of contracts, but also the long-term risk of trade diversion, where materials originally intended for the US are being redirected to alternative markets, including the UK.”
The US accounted for about 10% of its aluminum exports by volume last year, worth around £225 million.
