PARLIAMENTARY DEBATE
Steel Tariffs - 17 June 2026 (Commons/Commons Chamber)
Debate Detail
On 19 March, the Government set out the UK’s plan to introduce a robust new trade measure from 1 July. It will limit tariff-free steel imports, as compared with the steel safeguard measure. Any imports above the levels in the measure will face a 50% tariff.
Protecting primary steel production is crucial to the UK’s critical national infrastructure and defence. That is why we have published a long-term plan for steel and are introducing a new trade measure countering the unprecedented and damaging effect of global overcapacity. It is simply wrong that only 30% of the steel that we need in the UK is made in the UK.
Steel is essential for advanced manufacturing and engineering, and the interests of the domestic steel sector and downstream industry are best served together. A thriving steel industry strengthens supply chain resilience for downstream businesses and limits their exposure to global supply shocks. We need to balance the need to protect domestic steelmaking with maintaining secure, reliable supply chains for downstream businesses.
Imports will remain important. The Government have engaged extensively with businesses across a range of sectors, including manufacturing, when developing this measure. Indeed, last week, I held a roundtable with downstream industry, together with my hon. Friend the Minister for Trade. We, and the Secretary of State, also heard from several colleagues about the concerns of businesses in their constituencies. We are listening carefully to companies throughout the supply chain as we finalise the measure.
We have introduced a transitional arrangement; the new measure will not apply to goods under contract before 14 March 2026 and imported between 1 July and 30 September 2026. We have introduced a carry-over mechanism to give importers more flexibility. We will review the measure after 12 months to ensure that it remains fit for purpose.
We are also engaging intensively with the European Commission on our respective steel measures, and are working to find a bilateral solution that protects vital UK-EU steel trade. This engagement reflects the unique structure of our trading and security relationships and the interconnectedness of our supply chains, but we need to be clear: if we do not act, we will not have steel-making in the UK. The US, Canada, the EU are all acting; we must too.
Aerospace, the automotive sector, Formula 1, the construction sector, and manufacturing businesses that use steel, which employ 300,000 people, are all being impacted by Labour’s botched tariffs. Many specialist steels—the Minister may have heard this from manufacturing businesses—are not, as it stands, even produced in the UK. That is a real issue when it comes to, for example, categories 14 and 27, which are used in aircraft wings, or in defence applications that we need to make ourselves safe. Where defence companies have cost-plus contracts, the tariff on steel that is not made here will just get added to the bill for the Ministry of Defence.
Will the Minister listen to Stephen Morley, president of the Confederation of British Metalforming, who says:
“The UK risks accelerating the decline of its manufacturing base rather than preserving it”,
or Simon Boyd from REIDsteel, a British steelmaker, when he says that these measures will kill off
“downstream customers of steelmakers in the UK”?
I am sure that is not the Minister’s intention, but with just two weeks to go, with respect, it is time to stop listening and start acting.
Will the Minister answer three questions? First, will he confirm today that the measures will not be applied retroactively throughout the whole life of existing, agreed contracts? Secondly, will he exempt steel—especially in categories 14 and 27—that is simply not made here in the necessary volumes? Thirdly, after listening to industry, will the Government please delay these tariffs for at least six months so that they can get this right?
I think we all recognise the importance of the steel industry and the downstream sector—there is definitely a point of agreement there. The point about timing is a critical one, and on the face of it, the request for a delay is not unreasonable. The important thing to recognise is that our steel safeguard measure expires on 30 July. It is not possible for us to extend that measure; it has lasted for eight years, and under World Trade Organisation rules we cannot extend it, so new measures are required. Of course, the EU is introducing a new measure on 1 July, and the US and Canada have also introduced new measures. If we were not to introduce a measure, the UK would become the global dumping ground for subsidised steel. That would be the end of our primary steel industry, so something needs to be done.
In designing the measures, we have been very careful to ensure that they are targeted at those steels that are made, or could be made, in the UK. However, the categories are quite broad, and we acknowledge that some steels that are not, and could not be, made in the UK could be swept up in them. That is the point of the quotas. Since our draft measures were published, we have consulted extensively with industry—I have known Steve Morley for a very long time, and I listen very carefully to what he says, but more than that, we have carried out extensive consultation. The Minister for Trade and I have met the downstream group on three occasions, and I have met the Aerospace Growth Partnership, the Construction Leadership Council and many other businesses. We will be publishing our final measures in line with our EU negotiations when they are completed, in time for 1 July.
There is a loophole for the import of fabricated steel. Canada and the United States have both moved to close that loophole; there is a question about why we have not taken the same steps. Twelve months is too late. There are no exemptions for steel products that we do not make, as we have heard, and there is no clarity on the use of procurement to drive domestic production. It also appears that a number of the quotas have been set in the wrong place, so will the Minister look again at the advice the Select Committee provided and come back to the House urgently—within the next week—with some adjustments to help safeguard a brilliant industry with a brilliant future ahead of it?
What response did the Minister give experts in the manufacturing industry when they warned him about these matters? What conversations has he had with Tata Steel in determining the Government’s tariff position? Will he remove categories from the regime where no domestic production capability exists, such as product codes 14 and 27, which are critical for the viability of many aerospace and defence manufacturers? Will the Secretary of State commit to delaying or tapering implementation until proper mitigations have been put in place?
The hon. Member asks about the conversations I have had with industry. I will tell her what I said to the Aerospace Growth Partnership. When I met it this morning, I said that clearly we would not want to start from this point, but that it is about choices. This Government have decided that we want to have a full aerospace supply chain, including our own speciality steels production. That is a different choice from the one that the previous Government made when they were approached by industry, offering to co-invest in that site and keep it open. They rebuffed all those responses, because their view was, “Leave it to the market, let the steel plants close.” We are making a different choice.
Let me say to my hon. Friend that I will do exactly what I have done since the day these draft measures were announced: engage with Members on both sides of the House and with all businesses. I hope Members will feel that I have endeavoured to do that. We have had had cross-party discussions and I have had many meetings with businesses, trade associations and individual colleagues, and I am determined to continue to do so.
“self-inflicted damage to the economy”,
given that
“sectors rely heavily on imported steel”.
What lessons is the Minister taking from that, and from his conversations with his colleagues as they negotiate our future relationship with the European Union? We need to sort out not just matters such as the carbon border adjournment mechanism, but a sector-by-sector deal to help our British businesses in the future.
Hadley Industries, a large employer, is already considering downscaling its number of employees. Pargat Housewares in my constituency, another large employer, is a significant manufacturer of pots, pans and bakeware—in fact, it is one of the largest manufacturers in the UK, supplying most of our superstores and exporting. However, steel suitable for kitchenware is not manufactured in the UK in significant quantities and at competitive prices. What advice would the Minister give you give companies that are facing a 60%—
To be clear about this, I think everyone in this House believes in free and fair trade, and we all wish we lived in a world where there were no tariffs. UK Steel has welcomed these measures, but has also said it would prefer it if there were not any tariffs. Unfortunately, this is the product of the world we are in. I do not think this is “mucking about with tariffs.” Essentially, we are responding to the global trading situation, and trying to ensure we have a strategy for a viable UK industry.
Bills Presented
Infants, Parents and Carers Bill
Presentation and First Reading (Standing Order No. 57)
Sir Desmond Swayne presented a Bill to make provision about support for infants, parents and carers of infants, and prospective parents and carers, including provision relating to assessment of needs and to reporting requirements relating to such support; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 4 September, and to be printed (Bill 13).
Terminally Ill Adults (End of Life) Bill
Presentation and First Reading (Standing Order No. 57)
Lauren Edwards, supported by Kit Malthouse, Mr Peter Bedford, Josh Babarinde, Andrew George, Kim Leadbeater, Peter Prinsley, Dr Simon Opher, Jess Phillips, Dr Marie Tidball, Siân Berry and Liz Saville Roberts, presented a Bill to allow adults who are terminally ill, subject to safeguards and protections, to request and be provided with assistance to end their own life; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 11 September, and to be printed (Bill 14).
Heritage Public Houses Bill
Presentation and First Reading (Standing Order No. 57)
Mike Wood presented a Bill to require local authorities to maintain a register of heritage public houses in their area and to make provision in connection with the compilation and maintenance of such registers; to make provision relating to planning applications in respect of public houses on such a register; to make provision about the listing of heritage public houses; to make further provision relating to heritage public houses; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 16 October, and to be printed (Bill 15).
Homes and Planning Bill
Presentation and First Reading (Standing Order No. 57)
Andrew George, supported by Mr Clive Betts, Gideon Amos, Hannah Spencer, Mr Lee Dillon, Caroline Voaden, Ben Maguire, Steve Darling, Grahame Morris and Steff Aquarone, presented a Bill to make provision about the availability of social, affordable, and intermediate market homes; to make provision about the powers of local authorities and local planning authorities in relation to homes and planning; to make further provision in relation to homes and planning; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 13 November, and to be printed (Bill 16).
First Cousins (Prohibited Relationships) Bill
Presentation and First Reading (Standing Order No. 57)
Dr Luke Evans, supported by Mr Richard Holden, Claire Coutinho and Mrs Kemi Badenoch, presented a Bill to prohibit the marriage of first cousins; to prohibit civil partnerships between first cousins; to prohibit sexual activity between first cousins; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 15 January 2027, and to be printed (Bill 17).
Strategic Litigation Against Public Participation (No. 2) Bill
Presentation and First Reading (Standing Order No. 57)
Sir John Whittingdale, supported by Tom Tugendhat, Alex Sobel, Alicia Kearns, Damian Hinds, Gregory Stafford and Mims Davies, presented a Bill to make provision about the use of litigation to suppress freedom of speech.
Bill read the First time; to be read a Second time on Friday 27 November, and to be printed (Bill 18).
Domestic Abuse Protection Orders (Amendment) Bill
Presentation and First Reading (Standing Order No. 57)
Jessica Toale presented a Bill to make provision about domestic abuse protection orders; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 4 December, and to be printed (Bill 19).
Emergency and Life-saving Skills (Schools) Bill
Presentation and First Reading (Standing Order No. 57)
Dr Neil Shastri-Hurst, supported by John Cooper, Bradley Thomas, Sarah Bool, Joe Robertson, Alison Griffiths, Lincoln Jopp and Rebecca Smith, presented a Bill to require the teaching in schools of skills relating to emergency situations, including life-saving skills; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 16 October, and to be printed (Bill 20).
Ceramics (Country of Origin Marking) Bill
Presentation and First Reading (Standing Order No. 57)
Gareth Snell, supported by Adam Jogee, Dame Karen Bradley, Leigh Ingham, Dave Robertson, David Williams and Dan Aldridge, presented a Bill to require the indication of country of origin for ceramic products; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 27 November, and to be printed (Bill 21).
Northern Ireland Troubles (Criminal Investigations etc) Bill
Presentation and First Reading (Standing Order No. 57)
Lewis Cocking, on behalf of Lincoln Jopp, supported by David Davis, Alex Burghart, James Cartlidge, Nick Timothy, Mr Mark Francois, Jim Shannon, Ian Roome, John Cooper, Dr Neil Shastri-Hurst and Katie Lam, presented a Bill to require the Secretary of State to publish proposals relating to the circumstances in which new criminal investigations, prosecutions, inquests or inquiries in respect of Troubles-related conduct carried out in Northern Ireland may be commenced; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 4 September, and to be printed (Bill 22).
Fireworks Bill
Presentation and First Reading (Standing Order No. 57)
Patricia Ferguson, supported by Sarah Owen, Kirsteen Sullivan, Alberto Costa, Douglas McAllister, Martin Rhodes, Dave Doogan, John Grady, Dr Zubir Ahmed, Susan Murray, Maureen Burke and Tracy Gilbert, presented a Bill to make provision about fireworks; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 4 December, and to be printed (Bill 23).
Group-based Child Sexual Offences (Mandatory Life Sentences) Bill
Presentation and First Reading (Standing Order No. 57)
Robert Jenrick, supported by Nigel Farage, Richard Tice, Lee Anderson, Sara Pochin, Danny Kruger, Andrew Rosindell and Suella Braverman, presented a Bill to make provision about the sentencing of offenders convicted of serious sexual crimes against children committed as part of a group; to require that whole life orders are the starting point for adult offenders; to require minimum terms for young adult and child offenders; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 29 January 2027, and to be printed (Bill 24).
Automated Online Software (Access and Transparency) Bill
Presentation and First Reading (Standing Order No. 57)
Damian Hinds, supported by Alex Davies-Jones, Sir John Whittingdale, Pete Wishart, Liz Jarvis, Mr Bayo Alaba, Dame Caroline Dinenage, Simon Hoare, Jeff Smith and Vicky Foxcroft, presented a Bill to make provision about the registration of operators of specified automated online software; to make provision about duties on those operators with regard to the functions of that software, including in relation to accessing online material published by persons other than the operator; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 16 October, and to be printed (Bill 25).
Relationships and Sex Education (Further Education Sector) Bill
Presentation and First Reading (Standing Order No. 57)
Alistair Strathern presented a Bill to make provision about relationships and sex education in the further education sector.
Bill read the First time; to be read a Second time on Friday 4 December, and to be printed (Bill 26).
Cancer (Reporting and Strategy) Bill
Presentation and First Reading (Standing Order No. 57)
Clive Jones, supported by Dr Scott Arthur, Helen Morgan, Mary Kelly Foy, Helen Maguire, Lee Pitcher, Charlie Maynard, Cameron Thomas, Mr Will Forster, Adam Jogee, Christine Jardine and Vikki Slade, presented a Bill to require the Secretary of State to report annually to Parliament on performance in relation to specified targets and measures relating to cancer and to the prevention, diagnosis and treatment of cancer; to require the Government to publish a strategy for improving cancer outcomes; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 13 November, and to be printed (Bill 27).
Planning (Solar Power Generation) Bill
Presentation and First Reading (Standing Order No. 57)
Victoria Atkins presented a Bill to make provision about the granting of planning permission and development consent in respect of the building or installation of provision for solar power generation on agricultural land; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 15 January 2027, and to be printed (Bill 28).
Child-like Sexual Abuse Dolls (Offences) Bill
Presentation and First Reading (Standing Order No. 57)
Munira Wilson, supported by Alex Davies-Jones, Dame Karen Bradley, Max Wilkinson, Jess Phillips, Damian Hinds, Jess Brown-Fuller and Marie Goldman, presented a Bill to make certain acts involving child-like sexual abuse dolls an offence; to make provision for the seizure and forfeiture of such items; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 4 September, and to be printed (Bill 29).
Coastal Communities (Health) Bill
Presentation and First Reading (Standing Order No. 57)
Steff Aquarone, supported by Edward Morello, Andrew George, Rachel Gilmour, Caroline Voaden and Richard Foord, presented a Bill to require the Secretary of State, in exercising functions in relation to the health service, to have regard to the need to reduce inequalities between people in coastal and inland areas; to require the Secretary of State to prepare and publish a strategy for improving the health and wellbeing of coastal communities and for reducing health inequalities between people in coastal and inland areas; to require the Secretary of State to report annually to Parliament on the implementation of that strategy; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 13 November, and to be printed (Bill 30).
Hospice Funding Bill
Presentation and First Reading (Standing Order No. 57)
Mr Paul Foster presented a Bill to require the Secretary of State to publish proposals relating to the funding by integrated care boards of medicines and pharmacy services for patients in hospices; and for connected purposes.
Bill read the First time; to be read a Second time on Friday 27 November, and to be printed (Bill 31).
Work Experience (Schools) Bill
Presentation and First Reading (Standing Order No. 57)
David Pinto-Duschinsky presented a Bill to make provision about work experience for pupils in secondary education.
Bill read the First time; to be read a Second time on Friday 4 December, and to be printed (Bill 32).
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