Nutrition (Amendment etc.) (EU Exit) Regulations 2019
Debate between Lord Fox and Baroness Manzoor
Lord Fox (LD)
On a point of order, when the noble Baroness turns away from the microphone, we cannot hear what she is saying.
Baroness Manzoor
My apologies to the noble Lord. I was saying on infant formula, as I mentioned in my opening remarks, that if there are any changes, we will continue to mirror the regulations and, if there are any new initiatives, we will introduce new regulations in the usual way.
The noble Lord, Lord Rennard, and my noble friend Lady McIntosh also asked whether we would continue to be a member of EFSA. As I said, the nature of the UK’s future relationship with EFSA will be subject to negotiation with the EU. However, this SI provides for the appropriate expert committee or authority to assume EFSA’s function in a no-deal scenario, and this will guarantee certainty for business.
I hope that that answers most of the questions that noble Lords asked. I conclude by again reassuring all stakeholders that it is our policy intention to mirror the existing regulations as closely as possible. Guidance will be published shortly, and industry should be further reassured that stakeholders who we have consulted believe it covers all necessary aspects of the legislation and is fit for purpose from exit day. I commend the Motion.
US Imposition of Steel and Aluminium Import Tariffs
Debate between Lord Fox and Baroness Manzoor
Lord Fox (LD)
My Lords, I too welcome the repeating of the Statement in your Lordships’ House. I would not normally be speaking across the Dispatch Box and normal service will be resumed when my noble friend Lord Purvis is available. The noble Lord, Lord Stevenson, makes a good point in that this is very long on adjectives and very short on hope. He set out a very good analysis of the UK steel market. My understanding is that a large proportion of these exports are at the high-technology end of steel, so in a sense the bulk numbers we use for the amount of the total industry affected by this blind us to the fact that the high-technology end of our industry is disproportionately affected. I would like to understand the Government’s analysis of how this will hit that particularly important part of the UK steel offering, because this is an area in which we have excellent businesses and a recovering economy and this could be a very serious blow going forward.
The Statement says in robust terms that the tariffs have weak foundations in law. Elsewhere, Secretary of State Liam Fox is on the record as saying that they are illegal. Do the Government stand by the view that they are illegal, or are we going to continue to tiptoe around this issue?
The noble Lord, Lord Stevenson, also mentioned the US-UK trade working group. If it has not been discussing this issue, what is this group for? While the Minister is on her feet, can she tell us under what mandate this group operates? I am not aware that there has been extensive discussion in Parliament about the basis for future trade with the United States, so what is this group’s mandate and what has come back on steel?
It is clear from the Statement that if the EU decides to trigger its punitive measures, the Government will be part of that because we are part of the EU. If the WTO is brought in on a legal basis, it will be a drawn-out affair, going well past March next year. Assuming that the Government get their way and we exit the customs union, HMT will have a decision to make: will it continue to maintain the robust measures that we have talked about and sit in solidarity alongside our largest trading partner, or will the Government decide to side with the United States? Perhaps the Minister can talk us through that process.
Finally, Prime Minister Trudeau of Canada has been the most articulate in setting out how Trump’s use of the national security justification has been most hurtful and corrosive to the closest military allies of the United States. To some extent, that is alluded to, in a softer way, in the Statement. Can the Minister tell us if and when the UK will raise this in NATO and with NATO allies? If it has already been discussed, what was the result of those discussions?
Baroness Manzoor
I thank the noble Lords, Lord Stevenson and Lord Fox, for their questions. I particularly thank the noble Lord, Lord Stevenson, for his warm welcome. He may not continue with it when I answer his questions but I will do my best to answer the questions of both noble Lords.
As I have said, we are deeply disappointed in the action that the US has taken. We want a multilateral action. We need to look at the capacity of steel from China and work together to resolve that issue, instead of the action taken by the US. As part of the EU, we will work very closely with our stakeholders in other EU countries to ensure that we have a collective response. We are still part of the EU; we have not left yet.
Like both noble Lords, I am concerned about the impact that these tariffs will have on our steel and aluminium industry here in the UK, as well as the effect on employees. The Secretary of State and other Ministers, both within business, will meet CEOs, trade unions and other bodies connected to the industry to look at what impact the tariffs will have on our industry and how we can move forward with the industry to find solutions. It is too early to say what the impact will be but I have indicated the amount of money involved in terms of turnover.
One of the other questions posed by the noble Lord, Lord Stevenson, was on intellectual property and whether these tariffs are likely to spread. Indeed, some people have asked whether the auto industry will be affected. Once again, we are working closely with the EU and the US. We must not forget that the US is a very important and key ally of the UK. We want to ensure that we, with the EU, discuss very clearly the impact that the steel and aluminium tariffs will have. I know that Germany is looking at the issues around the car industry and the tariffs that may happen in that arena.
I was also asked by the noble Lords, Lord Stevenson and Lord Fox, how often the trade and investment group meets. I know that it is about to meet soon, and it will look clearly at the impact these tariffs will have. However, I do not know what the group’s terms of reference are. I will certainly write to noble Lords and place a copy in the Library so that they know exactly who sits on the group and what its terms of reference are.
I was also asked whether Parliament will have a chance to vote before the EU goes back, in relation to the WTO rules. We are firmly of the view that we want to see a rules-based solution, not a unilateral situation. We are disappointed, and I personally say that it is to be regretted that the US has taken the decision it has. Nevertheless, I am not clear whether Parliament will have a chance to vote. Again, I will write to the noble Lord. On balance, from the briefings I have seen, the EU will make a decision at a later stage on the list it has identified.
The noble Lord, Lord Fox, mentioned the Canadian Prime Minister’s strong and vocal opposition to the tariffs. We are very disappointed, as I said, and it is clearly to be regretted that these tariffs are to take place, but it is a question not of how vocal one is but of what the outcome will be. We want an outcome where we have free trade with the US. We will work very closely to see what we can do regarding these tariffs, which we think are unhelpful to the UK aluminium and steel industry. We will endeavour to work very closely with employers and businesses in the UK, and employees, but just as importantly with the US, because it is an important ally and we need to ensure we can work in this collaborative method to try to get some exemptions not only for the UK, but for the EU.
If there is anything I have missed I hope noble Lords will forgive me. I will write to them to respond.