US Steel and Aluminium Tariffs

Stephen Gethins Excerpts

Monday 4th June 2018 Commons Chamber

[Dr Fox]

My hon. Friend, as usual, raises interesting points. He is completely correct that a tit-for-tat dispute will help nobody. The United States has already seen an increase in the domestic price for steel. That means that input prices in the US are likely to rise, its output prices will ultimately rise and it will become less competitive, which is not an answer to its current trade predicament. When it comes to the position of the United Kingdom, had we been given an exemption by the US, we would still have been required to carry forward any counter- measures proposed and implemented by the European Union, but if we had implemented countermeasures without any measures actually having been applied to the United Kingdom, we would have been in breach of WTO law. It is a Catch-22.

[Stephen Gethins (North East Fife) (SNP)]

In spite of what the International Trade Secretary says, so much for the special relationship and the special treatment that the Government were seeking from President Trump. Coming hard on the heels of the weekend’s report that the Government are preparing for a Brexit armageddon, the chickens are truly coming home to roost for Brexiteers, who have had years to prepare for their big moment. But this has an impact on all of us, and the Scottish Government were left to secure steelworks in Lanarkshire. Will the Secretary of State tell us what discussions he has had with the Scottish Government and the industry in Scotland? His statement shows just how important the European Union is in these matters. Does it not make more sense to remain close to those who are closest to us economically and politically in Europe, and stay part of the customs union?

[Dr Fox]

The answer to the hon. Gentleman’s last question is no. The Minister for Trade Policy has been in touch with the Scottish Government in the past few days to discuss the wider impacts on the industry. I have made it very clear that we regard this as a UK-wide issue. The UK Government will take whatever measures are required, including safeguarding, to protect the whole UK steel industry.