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The United Kingdom has received a temporary exemption from a dramatic tariff hike imposed by U.S. President Donald Trump, who this week signed an executive order doubling tariffs on steel and aluminium imports to 50%. While most countries are immediately affected, the UK will continue facing a 25% tariff — for now.
This exemption is tied to a UK–US tariff agreement signed in May, which aims to eliminate metal tariffs altogether. However, as the deal has yet to take effect, UK steel exporters remain exposed — and could face the full 50% tariff if implementation stalls.
The UK government reaffirmed its commitment to defending British businesses and jobs, while critics from the Conservative Party described Trump’s move as a “fresh tariff blow.”
Trump stated that the UK needed “different treatment” under the Economic Prosperity Deal (EPD) signed on 8 May. Still, he warned that tariffs may rise after July 9 if the UK is found non-compliant with aspects of the agreement.
A UK carve-out was achieved after Business Secretary Jonathan Reynolds met with US Trade Representative Jamieson Greer in Paris on Tuesday.
The U.S. is a vital market for the UK, accounting for around 7% of its steel exports. Gareth Stace, Director General of UK Steel, welcomed the temporary relief but noted that ongoing uncertainty is harming business confidence.
“The May deal must be finalized soon,” he urged. “Otherwise, US buyers may stop placing UK orders altogether.”
Shadow Business Secretary Andrew Griffith blamed Labour’s negotiation strategy for the ongoing uncertainty, calling it a “limbo” that UK industry can’t afford.
