Oral Answers to Questions Debate
Full Debate: Read Full DebateKit Malthouse
Main Page: Kit Malthouse (Conservative - North West Hampshire)Department Debates - View all Kit Malthouse's debates with the Department for Business and Trade
(3 weeks ago)
Commons Chamber
Chris McDonald
I thank my hon. Friend for raising issues with businesses in Stourbridge when we met earlier this week; I am happy to continue to work with her. The measures we have introduced, which are primarily to protect the UK steel industry, are targeted at steels that are made or can be made in the UK. There are sometimes difficulties where a product code covers multiple steel grades, but that is what the quota system is intended to deal with, and of course there will be a review in 12 months’ time.
Further to the question from the hon. Member for Stourbridge (Cat Eccles) and my question to the Prime Minister yesterday, I am sure the Minister is aware that lots of manufacturing businesses are, frankly, screaming about the damage that the tariffs are going to do in five weeks’ time. Will he please consider an extension of the transition period to two years to allow three things to happen? First, it would allow UK steel capacity to grow in order to cover the gap. Secondly, it would allow quotas to be set correctly, so that UK businesses are not disadvantaged in the absence of UK production capacity. Thirdly, it would allow us to work out how it can be fair that somebody importing steel into the UK to produce a product pays tariffs, but somebody importing a finished product from overseas that is made from the self-same steel does not face tariffs.
Chris McDonald
I thank the right hon. Gentleman for his comments. I believe we have had representation from Stannah, the stairlift company based in his constituency. It is important to say that the Government take action like this reluctantly, but ultimately there are distortions in the market around steel. The EU taking action itself would lead to the UK becoming a dumping ground for cheap steel flooding in from overseas. We have taken a very carefully balanced approach and consulted carefully with the industry. I continue to receive representations, and, as I said, there is an opportunity for a review of the measures in 12 months’ time.