UK Steel has issued a call for increased protection against the risks posed by global overcapacity in the steel industry. The industry association warns that the UK market could be vulnerable to excess capacity if current safeguards are allowed to lapse.
The report highlights that global steel overcapacity, driven by non-market forces such as state subsidies, could undermine UK investments without new trade policies. With steel demand in China weakening and the country expected to export significant quantities, the UK steel sector faces increased competition from underpriced imports.
UK Steel emphasizes the need for the UK government to explore new trade policy options and strengthen measures to ensure fair competition and protect domestic producers.