The UK government announced that it will tighten steel imports by cutting duty-free quotas by 60% and doubling tariffs on volumes exceeding quotas to 50%, up from 25%, effective July 1, 2026. 

The move aims to protect the country’s small but strategically important and politically sensitive steel industry amid rising global trade tensions. The policy aligns the UK more closely with trade measures adopted by the US and EU, while the government also plans to invest up to £2.5 billion through its National Wealth Fund to support the sector.

The strategy seeks to boost domestic steel usage from 30% to 50% and strengthen national security and industrial resilience. The measures have been welcomed by unions and industry groups, despite the sector accounting for only 0.1% of GDP, but supporting around 37,000 jobs.