UK ministers are working urgently to ensure Tata Steel is not excluded from a prospective trade agreement between Prime Minister Keir Starmer and U.S. President Donald Trump, which aims to eliminate tariffs on British steel and aluminum. Although the deal has been agreed, it has not yet been signed and is expected to take effect within a few weeks.
A major concern is that Tata Steel, which exports over $100 million annually to the U.S., might be disqualified due to U.S. rules requiring imports to be “melted and poured” in the country of origin. Tata’s recent shift to greener manufacturing involved closing its Port Talbot blast furnace and importing steel from its Indian and European affiliates, which might breach U.S. standards.
UK officials are negotiating a specific exemption for Tata, though the process is complex. Additionally, U.S. concerns about Chinese involvement in British Steel, owned by China’s Jingye group, have added tension. Currently, U.S. tariffs on UK steel and aluminum stand at 25%, compared to 50% for other countries. Delays in finalizing the deal have already impacted British steelmakers, with Tata noting £150 million in affected business.
Vietnam Steel by Hoa Sen Group
