Key facts
- New UK steel tariffs are now in effect.
- The tariffs aim to counter global overcapacity.
- Northern Ireland businesses may face charges under both UK and EU tariff regimes due to post-Brexit trading arrangements.
- Firms are concerned about competitiveness and are considering shifting production overseas.
- Tens of millions of pounds worth of business has reportedly moved to other locations.
New steel tariffs implemented by the U.K. have taken effect, but the domestic industry is expressing dissatisfaction, particularly concerning the complexities faced by businesses in Northern Ireland. These new measures, aimed at addressing global overcapacity, impose a 50 percent tariff on steel imports exceeding newly reduced quotas.
Complicated post-Brexit trading arrangements mean that Northern Ireland businesses importing steel via Great Britain could be subject to charges under both the U.K. and E.U. tariff systems. Stephen Kelly, chief executive of Manufacturing NI, described Northern Ireland as being in a "messy middle" with a lack of clarity. This uncertainty has already impacted pricing and business decisions, with steel costs rising and some firms beginning to shift production overseas to maintain competitiveness. Kelly stated that "tens of millions of pounds worth of business has been moved to other locations."