Midlands-based trade body urges 'balanced approach' in response to US steel sanctions
The boss of a trade organisation representing hundreds of UK steel product makers says US sanction will "unquestionably" hamper exports.
But Steve Morley, President of the Confederation of British Metalformers(CBM) who are based in West Bromwich, has also called on the government to take a measured stance in response to calls from the steel industry to tighten standards on supplies of domestic metals.
Earlier this month, the boss of UK Steel called on the government to take action to secure the future of the UK steel industry, including setting out "bold and ambitious" plans to tackle issues such as high energy prices, decarbonisation and recycling, and prioritising domestic steel in procurement.
But Mr Morley says the CBM is now urging the UK Government to take a "balanced approach" to steel imports, which recognises the needs of both British steelmakers and the large number of downstream metal manufacturers who depend on access to competitively priced materials.
He added that "overly protective" trade measures risk significantly increasing production costs, putting UK manufacturers at a disadvantage in global markets and inhibiting their potential for growth.
“We strongly oppose the unjustified US tariffs on steel, aluminium, and their derivative products, imposed under President Trump’s administration,” he said.
“These tariffs will unquestionably injure UK exporters, including our members, disrupt global trade conditions and also increase costs for American businesses and consumers.
“The CBM is also deeply concerned by calls from British steelmakers to tighten already restrictive UK steel safeguarding measures that impede downstream manufacturers from achieving growth and contributing actively to the UK economy, jobs and exports.
"The Confederation of British Metalforming says it has always acknowledged UK Steel’s commitment to defending the interests of its members. However, it adds it is crucial to recognise that its position does not necessarily represent the interests of downstream metal manufacturers, who collectively employ 330,000 people."
Now, the organisation says it stands ready to work with government on creating a steel strategy which is fair to all parts of the sector.
“We have previously provided evidence to the Department for Business and Trade (DBT) demonstrating that many of our members have no choice but to import vital steel grades. This is due to domestic steelmakers being unable to supply the required specifications or only offering them on prohibitive commercial terms.”
“Our policy team and our members remain fully committed to providing evidence to illustrate the ongoing challenges faced by UK manufacturers in securing suitable domestic steel supplies.
“As we have done previously, we stand ready to engage with policymakers to ensure a fair and sustainable steel supply chain for the success of the entire manufacturing sector.”