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The UK government has expedited its plans for a £2.5 billion investment in the steel industry in response to US President Donald Trump's implementation of 25% tariffs on steel and aluminium imports. Business Secretary Jonathan Reynolds will release a green paper titled "Plan for Steel" ahead of schedule to address the urgent need to bolster the domestic steel sector (The Observer, 2025).
Reynolds stated that the government's commitment to strengthening the steel industry was already in place before Trump's return to office, but the tariffs have intensified the urgency to act. The UK exports approximately 209,000 tonnes of steel annually to the US, while importing 16,000 tonnes, making it a critical trade partner (The Observer, 2025).
Gareth Stace, director general of industry group UK Steel, warned that these tariffs could jeopardize £400 million in steel exports and damage the UK's balance of trade during a time of rising global protectionism (The Observer, 2025). The green paper will address issues like high energy costs and the role of electric arc furnaces in making the industry more sustainable.