The UK government has been put on the back foot by the United States’ widening steel tariff regime, announcing it is now seeking “clarification” from Washington on which additional products will be affected. The move signals growing concern within the government about the impact of the “derivative” goods list on the UK’s manufacturing sector.
While the UK secured a lower 25% tariff on its steel exports compared to the EU’s 50%, it is not immune to the expansion of the policy to cover manufactured goods. The 407 categories of “derivative” products already listed, and the potential for more, could hit a wide range of British exports, from machinery to construction materials.
The request for clarification highlights the deep uncertainty created by the US policy. The “rolling list” approach, with its potential for ad hoc additions, leaves trading partners in the dark. Businesses cannot plan, and governments cannot provide guidance without a clear understanding of the rules.
This uncertainty is fueling calls for action from within the UK. British Steel and the Community trade union are already campaigning for a national pledge to support the domestic sector, citing “unprecedented challenges.” The government’s diplomatic approach is running parallel to this domestic push for resilience.
The need to seek “clarification” is a telling sign of the current state of the “special relationship.” It suggests that on this key trade issue, the UK is reacting to US moves rather than being a consulted partner, adding to the pressure on London to secure a stable and predictable trading environment for its industries.
UK Government on Back Foot, Seeks “Clarification” on Widening US Tariffs
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