Tata Steel has warned that forthcoming US import tariffs could significantly impact its UK operations unless a trade carve-out is secured, according to the Daily Telegraph.
The Indian-owned group, Britain’s largest steelmaker, risks being caught by Donald Trump’s proposed 50% duties on foreign steel, set to take effect from 9 July.
Although a UK-US trade agreement is being negotiated, Washington is demanding that steel must be “melted and poured” domestically to qualify for tariff exemption.
This poses a problem for Tata, which currently imports steel from India and Europe for processing in Port Talbot, where it shut its last blast furnaces in 2023.
Until its new electric arc furnace comes online in 2027, Tata will rely on imported steel substrates.
Chief executive Rajesh Nair said the proposed rules threaten vital exports to the US. He urged the UK government to finalise a deal and provide flexibility while domestic steelmaking capacity is rebuilt.