White House Signals Britain Will Keep 50% Steel and Aluminum Tariffs | Trade Policy

The White House said the UK would exempt the 50% steel and aluminum tariffs that went into effect on Wednesday, triggering relief from British steel manufacturers.

U.S. President Donald Trump said in a statement that he decided to “provide different treatments” after a deal was reached between Washington and London last month, but has not signed it. The executive order signed by Trump on Tuesday night will still raise import taxes for U.S. companies purchased from other countries.

Taxes will remain at 25% of UK imports, although a higher 50% may still occur “on July 9 or after July 9” if the government “determines the UK does not meet the relevant aspects of the transaction”.

Business Secretary Jonathan Reynolds met with White House Trade Representative Jamieson Greer in Paris on Tuesday.

According to the Department of Commerce and Trade, Renault and Greer discussed the desire to implement a deal between London and Washington as soon as possible and are committed to working closely to achieve this goal.

The tariff reduction for British steel manufacturers is "in the short term... good news", said Rowan Crozier, chief executive of metal stamp expert Brandauer.

However, the owner of the Birmingham-based company told BBC Radio 4 Today plans that ongoing changes in tariff policies are undermining and creating business uncertainty.

"It's very far-reaching because essentially, our customers are not very confident about what they need to plan forward or order," Crozier said.

He added that the company must contact U.S. customers directly and called on the UK government to complete a trade deal with U.S. in the coming weeks.

Last month, Britain and the United States agreed to a trade deal between British Prime Minister Keir Starmer that includes relief for tariffs on steel and aluminum, but the implementation has not yet been completed.

“I think the government has done a great job at the moment, but they have to work hard to address this uncertainty now and lower those tariffs to zero,” Crozel said.

UK Steel, the British industrial body, welcomed Trump's decision to keep tariffs at 25%, but said uncertainty still exceeded the final speed.

Its Director-General Gareth Stace said: "The ongoing 25% tariff will benefit the goods we are worried about already causing on water. However, uncertainty remains in time and final tariff rates, and now US customers will be skeptical about whether they should risk their risk of issuing British orders.

“The United States and the United Kingdom must urgently turn May transactions into reality to eliminate tariffs entirely.”

Steel has been considering whether to reverse freight in the mid-Atlantic to try to sell products in Europe instead of paying a 50% tariff. There are also responsibilities and questions about whether the product will be sent back from the United States immediately.

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Marcegaglia Stainless Sheffield's long-time product president Liam Bates told The Guardian that British industry has been released. "The storm that floats in the teacup," he said.

However, he added: "This is still a broader issue because the UK attracts more than 50% of anything" tariffs. It "does require this 0% deal, too".

A UK government spokesman said: “The UK is the first country to reach a trade deal with the United States earlier this month and we remain committed to protecting UK operations and work in major sectors, including steel, as part of our plan for change.

“We are pleased that British steel will not be subject to these additional tariffs as we reach an agreement with the United States.

“We will continue to work with the United States to implement our agreement, which will enable the removal of 25% U.S. tariffs on steel.”

TUC Secretary General Paul Nowak said the exemption “has brought us back on the edge so many workers will breathe more easily.

White House Press Secretary Karoline Leavitt was asked if there was a text for the full deal to be released and told reporters on Tuesday: "There is the most certain text in this deal; this language has been seen in this regard.

“You have to ask the British Parliament why they haven’t seen it from their own government; I obviously can’t answer this question.”