Proposed changes to steel trade rules that could open the floodgates for cheaper imports and harm British manufacturing, have been condemned by industry and unions.
The Trade Remedies Authority has made its final recommendations to the International Trade Secretary Liz Truss on the extension of what are called steel safeguards - a quota system for imports.
There are extensions recommended across 10 product categories for a further three years, but nine are removed - leading industry and unions to call foul - having petitioned for a status quo post-Brexit.
It comes as Scunthorpe-headquartered British Steel builds back from the brink and Liberty Steel undergoes major restructuring after chief backer Greensill went bust.
A spokesperson for the former, employing more than 3,000 people across North Lincolnshire and the North East, said: “We’re extremely disappointed with these recommendations.
“In our appeal to the Trade Remedies Authority, we presented compelling technical evidence of the very real damage its proposals would cause. We asked for the current measures to be maintained so we could operate in a fair trading environment at a time when business is recovering from the pandemic. With the US and EU likely to maintain their safeguards, the 海角视频 is set to reduce ours.
“Brexit was supposed to allow us new freedoms and enable us to better protect 海角视频 businesses, enabling companies like ours to flourish in a new trading environment. These recommendations close doors for British companies.
“The 海角视频 Government has long been aware of our position on safeguards and the detrimental impact this will have on our business.”
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Alasdair McDiarmid, operations director at Community, said: “This is a shocking decision from the TRA which threatens thousands of jobs and the very future of our steel industry.
"The steel safeguards protect us from being flooded by cheap foreign imports and it would be an unforgivable act of self-harm to give up our protections when the EU and the US are maintaining their own defences. It seems the TRA has failed to understand what this decision means for our industry and our worst fears have been confirmed; our post-Brexit trade defence system is weak, ineffective and not fit for purpose.
“This Government established the TRA and they need to put this right by doing whatever it takes to overturn this decision and secure the extension of all our crucial steel safeguards. This Government has had plenty of warm words for steelworkers but we need action now; failure would make a mockery of Tory promises to support British industry, British workers and industrial communities.”
Those still protected include railway materials to the stainless-steel bars used in corrosive environments in the marine and aerospace industries. Tin cans is one to go, with the TRA stating that categories recommended for revocation represented 18 per cent - around 1.9 million tonnes - of average 海角视频 steel and iron imports between 2017 and 2019.
Industry body 海角视频 Steel said in a statement: "An unbelievable decision from TRA today to slash half the 海角视频's safeguard measures on the day EU extends all of its own. Significant risk of trade diversion from the EU to 海角视频 once measures lapse in July. Urgent rethink required.
"This creates a huge steel trade disadvantage between 海角视频 and EU, as EU producers will be able to export unlimited quantities to the 海角视频, but caps remain on 海角视频 exports to EU."
Large welded tubes used in offshore wind, originally due to be revoked, has been retained - with commitments made to manufacturing on the Humber.
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Conversely, stainless steel wire rod is being eased, due to fears it would hinder the growth of downstream industries - automotive and oil and gas pipelines - which use these products, and would face increased costs if imports exceeded the allocated quota.
The TRA said "the only known 海角视频 producer of stainless wire rod is supportive of the measure being revoked for this reason".
Chief executive of the Trade Remedies Authority, Oliver Griffiths, said: "The Trade Remedies Authority has been set up by statute to provide impartial, data-driven economic assessments like this recommendation on steel safeguards. We have listened carefully to all interested parties throughout the review and we have made some important changes to our preliminary decision in light of new information provided over the past few weeks."