UK Unveils Steel Strategy to Boost Domestic Output

The UK government has unveiled a comprehensive Steel Strategy aimed at increasing domestic production to meet up to 50 percent of the country's steel demand, up from the current 30 percent, while introducing stricter import controls to safeguard the industry against global overcapacity.

Business and Trade Secretary Peter Kyle announced the plan during a visit to Tata Steel's plant in Port Talbot, South Wales, emphasizing the sector's role in national security and economic stability. The strategy includes reducing steel import quotas by 60 percent starting in July, compared to existing levels. Imports exceeding these quotas will face a 50 percent tariff. Officials stated these trade measures will prioritize UK steel for critical applications in infrastructure, defense, and energy security, reducing reliance on foreign suppliers.

To support the initiative, the National Wealth Fund will allocate up to 2.5 billion pounds in financing for steel investments over this parliamentary term. The plan builds on recent government interventions, including support for British Steel in Scunthorpe last spring and Scunthorpe Steel UK in the autumn, which helped avert closures and preserved...