Britain aims to persuade the U.S. government to exempt its steel and aluminium products from tariffs, citing their critical role in the U.S. defense sector and manufacturing supply chains, announced Britain's business minister on Thursday. U.S. President Donald Trump plans to impose new 25% tariffs on such imports, in addition to existing duties, as part of his trade policy changes.
Jonathan Reynolds, Britain's business minister, acknowledged global overcapacity in steel and aluminium while underscoring that the UK is not a major contributor to this issue. He emphasized that the exported steel and aluminium from Britain to the U.S. are specialized defense items and components crucial to the U.S. manufacturing supply chain, intending to negotiate based on this premise.
During a London event, Reynolds expressed his intent to initiate discussions on the matter, noting Trump's focus on reducing the U.S. trade deficit with China, not with Britain. Trump hinted that a solution could be "worked out" with Britain regarding tariffs.
Despite the substantial trade between Britain and the U.S., discrepancies in the data may aid in securing an exemption from Trump's tariffs. However, UK Steel cautioned that the tariffs could have a severe impact as the U.S. represents the UK's second-largest market for steel exports, totaling more than 400 million pounds annually.