Prime Minister Keir Starmer has stated that he will not impose immediate counter-tariffs in response to Donald Trump's decision to enforce a 25% levy on all steel and aluminium imports to the US starting Wednesday.

During a phone call with Trump on Monday, Starmer discussed the matter but is prepared for the tariffs to take effect at 4 AM UK time on March 12.

His remarks came as Trump announced on social media that tariffs on Canadian steel and aluminium would be doubled—from 25% to 50%—in retaliation for Ontario’s decision to impose a 25% surcharge on electricity exports to the US.

A Downing Street spokesperson emphasized the strong economic ties between the UK and US, stating: "Our relationship is built on fair and reciprocal trade, and we are actively engaging with the US administration to advocate for an exemption for the UK from these proposed tariffs."

The spokesperson also reaffirmed the government's commitment to the domestic steel industry, highlighting a £2.5 billion investment aimed at revitalizing the sector and supporting local communities.

Starmer had previously discussed trade relations with Trump during a White House visit in February, during which Trump suggested that a "real trade deal" could eliminate the need for tariffs.

Jonathan Reynolds, the UK trade and business secretary, also raised concerns with US commerce secretary Howard Lutnick during a call on Sunday, arguing that the UK should be exempt since it does not maintain a large trade surplus with the US. Government data indicates that 5% of the UK’s steel exports and 6% of aluminium exports go to the US.

Industry leaders and political figures have criticized the tariffs, warning they could disrupt both the UK and global steel markets. Gareth Stace, director general of UK Steel, described the tariffs as a "sledgehammer to free trade," with serious implications for the steel industry worldwide.

The EU and Japan have also lobbied for last-minute exemptions, with EU Trade Commissioner Maroš Šefčovič warning that Brussels is prepared to implement retaliatory measures. Meanwhile, Japan’s trade minister Yoji Muto traveled to Washington this week in an unsuccessful bid to secure exemptions for Japanese steel, aluminium, and car exports.

UK Steel has criticized the move for disproportionately affecting US allies like the UK, as most other nations were already subject to 25% tariffs on steel and 10% on aluminium.

The US presidential order justifying the tariffs cited global overproduction, which is projected to reach 630 million tonnes by 2026, and concerns over cheap steel imports from China. The order also claimed that steel imports from the UK, EU, Japan, and Australia had increased from 18.6% in 2020 to 20.7% in 2023, indicating that existing quotas were ineffective.

However, UK Steel countered this claim, pointing out that steel demand in 2020 was historically low due to the COVID-19 pandemic. Additionally, UK steel exports to the US last year were 14% lower than in 2018, when the original tariffs were first imposed.