UK steel producers regained tariff-free access to the EU market for key steel products from August 1, 2025.
The British steel industry is set to receive a significant boost as the European Union has lifted its tariffs on key steel products from the UK, since Friday, August 1, 2025. This long-awaited move, a direct result of the Prime Minister’s EU deal signed in May, is expected to inject millions of extra pounds annually into the UK steelmakers' coffers.
For years, UK steel producers have faced considerable tariffs when exporting to the EU. This new agreement means that British steelmakers can now export vital products, such as support beams used in large building projects, to the EU without incurring additional costs.
The government has hailed this development as a clear victory for its pro-steel policies. Secretary of State for Business and Trade, Jonathan Reynolds, emphasized the importance of this step, stating, "This is yet another positive step forward for the UK steel sector and a clear example of our Plan for Change in action — removing barriers, supporting jobs, and backing British industry." He further highlighted that restoring the steel quota will provide producers with the certainty needed to compete, grow, and maintain crucial export relationships.
This latest achievement builds upon a series of significant interventions by the government to support the steel sector. These include a substantial £500 million investment in Tata’s green steel transition, decisive action to safeguard jobs at British Steel in Scunthorpe, and a previous deal with the US to reduce tariffs on UK steel. The decision to take control of British Steel following years of mismanagement, which saved thousands of jobs, is also cited as a key part of this comprehensive strategy.
The restored country-specific quota allows the UK to export up to 27,000 tonnes of steel to the EU each quarter without paying extra tariffs. This volume is roughly equivalent to a football stadium's worth of steel every year and is designed to maintain fair trade while preventing sudden surges in imports. This re-establishment of historic trade flows between the UK and the EU is expected to ease administrative and financial burdens for steel exporters, offering much-needed stability in an increasingly volatile global market.
The steel sector is a vital component of the UK economy, supporting approximately 40,000 direct jobs across 1,145 firms, with an additional 61,000 jobs in related industries. These changes are anticipated to enable UK steelmakers to export goods worth several millions of pounds annually to the EU.
