New Steel Trade Measures in the UK

Bethan’s Customs Coordinator, Jemma Harrold says: “With a bit of planning, clear instructions to your agent and keeping a close eye on quota levels will make all the difference now that these changes have come into play.”.

What is changing and how will quotas operate from 01 July? Jemma shares more on what to expect and managing quotas here. 

What is changing?

From 1 July 2026, tariff free imports of certain steel products will be significantly restricted. Overall quota volumes will be reduced by 60% when compared to the current steel safeguard measures.

Further detail on commodity codes can be found here.

Any imports above the available quota will be subject to a 50% duty, this applies to steel products that can be manufactured within the UK, with the aim of supporting domestic industry.

In practice, this is likely to mean tighter availability, potential delays at clearance and increased costs for businesses importing affected goods.

Under this arrangement, relevant goods under contract before 14 March 2026 are fully exempt from 50% out-of-quota duty between 1 July 2026 and 30 September 2026. 

How the quotas will operate

Quota allocations will be split into four quarterly periods:

• Quarter 1: 1 July to 30 September
• Quarter 2: 1 October to 31 December
• Quarter 3: 1 January to 31 March
• Quarter 4: 1 April to 30 June

Access to quota will operate on a first come, first served basis, so timing is going to be key. Once the quota is used up, any further imports in that period will automatically fall into the higher duty rate.

Importers will need to closely monitor quota availability throughout each period, as access is limited and demand is expected to be high.

Managing quota at clearance

Quota availability can be checked on the UK Global Tariff when you are preparing your clearance instructions.

A few key things to keep in mind:

• If quota levels are running low, a financial guarantee may be required at the time of import
• If quota is still available when the goods are cleared, that guarantee will be released
• If the quota has been exhausted by the time of clearance, the 50 percent duty will apply

It is worth noting that quota is assessed at the point of clearance, not when the goods are shipped, so delays in the process could affect whether quota is still available.

Importer responsibilities

Quota is not applied automatically, so it is important this is actively managed.

To make use of quota:

• You must clearly instruct your clearing agent to claim it
• The correct quota order number must be included in your instructions

Ultimately, this sits with the importer and if it is not requested correctly, you could end up paying duty unnecessarily.

Alternative options to consider

If you currently use special procedures such as Inward Processing or Customs Warehousing, it may be worth reviewing whether these could help manage the impact. In some cases, it may be possible to add additional commodity codes to your existing authorisation. That said, HMRC are likely to look very closely at any requests involving these steel products.

Some things to bear in mind:

• You will need to fully meet the conditions of your authorisation
• For example, Inward Processing does not cover goods being imported purely for storage
• Any request will need a clear and justifiable commercial reason.

Forward planning for the new measures

If you would like help checking quota availability or working through the tariff, Bethan is happy to support. We tailor our support around your business goals, challenges and priorities, delivering it in the way that suits you best.

Getting ahead of this will really help and with a bit of planning, clear instructions to your agent and keeping a close eye on quota levels will make all the difference once these changes come into play.

If you would like further support with these changes, we would be happy to help -  you can contact us at hello@bethancc.com.