Jobs could be at risk in the British steel industry after the UK failed to secure an exemption to the US president’s global tariffs on metal imports, as ITV News Reporter Aisha Zahid explains.
Trump’s 25% tariffs on all steel and aluminium imports officially came into effect on Wednesday, escalating fears about a global trade war.
While the UK had managed to avoid some of the other tariffs slapped on other countries, British-made steel and aluminium will now be hit.
Industry bodies like UK Steel have raised the alarm about the impact this could have UK consumers, and the economy as a whole.
Treasury Minister James Murray told ITV News the tariffs were "disappointing", but the government is "going to respond with a cool head".
What are tariffs?
Tariffs are effectively a tax placed on imports – they can be used to raise revenue for government, or to force people in a country to turn towards local goods by making foreign products more expensive.
The tariffs themselves will be paid for US companies rather than the exporter – but will have huge economic impacts on the countries exporting to the US.
US companies will have to choose whether to absorb the increased costs, or to pass on some or all of it to consumers.
Trump has been using tariffs on Canada, China, Mexico and other countries to try and force them to take action over political issues like drugs and illegal migration.
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