UK Secures Tariff-Free Steel Quota in Post-Brexit Trade Boost

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LONDON, 1 August 2025 — The British government has confirmed that key steel exports to the European Union will no longer face tariffs under a restored quota system. The change takes effect on Friday and follows a recent deal aimed at improving post-Brexit trade ties.

The move is part of a wider agreement made in May to reset UK-EU defence and trade relations. As part of the deal, the EU agreed to reinstate the UK’s steel quota to pre-2022 levels. This allows Britain to export up to 27,000 tonnes of steel to the bloc each quarter without paying extra tariffs.

Business and Trade Secretary Jonathan Reynolds called the update “yet another positive step forward for the UK steel sector.” He said the restored quota would give producers the stability needed to grow and keep key export links.

The UK steel industry has faced serious challenges from foreign competition and rising costs. Earlier this year, the government stepped in to protect jobs at British Steel, underlining the sector’s importance to the economy.

Gareth Stace, Director General of UK Steel, welcomed the announcement. He said companies had struggled to export products such as support beams under the previous trade limits, and called the new quota “excellent news.”

While the EU deal offers relief to British steelmakers, talks with the United States remain stuck. UK steel exports to the US are still subject to a 25 percent tariff. A prior agreement prevented that rate from increasing to 50 percent, but efforts to remove the duty entirely have stalled. Negotiators continue to disagree over supply chain rules, including where British steel is processed.

Even with US talks delayed, the deal with the EU is seen as a meaningful win for UK industry. It offers exporters more certainty and helps protect British manufacturing in a competitive global market.