British steelmaker calls Trump double tariffs "another physical blow"

British steelmakers say U.S. President Donald Trump's decision to tax steel and aluminum to 50% import tax is "another physical blow" to the industry.

British trade group Steel warned that certain orders could be delayed or cancelled, surrounding uncertainty about some of the goods that have already crossed the Atlantic Ocean.

Trump's new 50% import tax will take effect on Wednesday. It will replace the 25% import tax announced by the U.S. president earlier this year.

A UK government spokesman said it is interacting with the United States to provide clarity to the industry with the latest tariff announcement.

The United States agreed on May 8 to pay import taxes as part of a trade deal with the UK, but the initial 25% tariff has been retained while completing details of the transaction.

British Steel Director Gareth Stace said: “Prime Minister Sir Keir Starmer and Sir Donald Trump reached the Prime Minister just a few weeks ago and have not yet finalized it, so this doubling of tariffs has further confused the British steel industry… It is another blow to all British steel manufacturers in this flood time.

“British Steel was worried this morning that orders would be cancelled now, some of which could be spread across the Atlantic Ocean as we spoke.”

Mr Stas said the trade group will now “urge our government to finalize an agreement to cancel the UK steel import tax and take effect urgently”.

"British steel manufacturers don't have to make this new steep rise in the U.S. steel tariffs - we just want to continue producing the steel that our American customers value," he said.

A UK government spokesman said: "The UK is the first country to reach a trade agreement with the United States earlier this month and we remain committed to protecting UK operations and work in key sectors, including steel."

The Guardian reported on Saturday that Commerce Secretary Jonathan Reynolds will meet with his U.S. counterpart Jamieson Greer at a global policy forum in Paris next week, and they will seek to agree to a timetable for exempting the UK from U.S. steel tariffs.

Britain exports relatively little steel and aluminum to the United States - about £700 million worth per year - but it is an important market.

The situation in the UK should be relatively simple to resolve, but business with the US will become more complex and more expensive before the details of the UK-US deal are reached. It is not clear how long it will take.

The type of specialty steel exported by the UK to the United States (usually used in nuclear submarines), which means it will be difficult for the United States to source it elsewhere.

Duty-free trade is mutually beneficial. But this reminds you that nothing can be excluded from Trump.