NFRC Alarmed by Govt Hesitance to Back Down from Steel Tariffs

In March 2026, the UK government announced its new Steel Strategy: from July, tariff-free quotas for steel imports will be cut by 60%, and a 50% tariff will apply to above-quota imports, matching US tariff levels. This effort to stimulate domestic steel production has not adequately been thought out and poses a significant risk to the roofing and cladding sector.  

The construction sector immediately expressed concern at this prospect, and the Construction Leadership Council (CLC) has since been engaging Ministers and the Department for Business and Trade in an effort to alert them to the implications of these tariff proposals and push for alternatives.  

Fundamentally, the UK construction sector is not yet set up to source all required steel grades and volumes from domestic producers alone, which means the tariffs risk supply shortages and price increases.  

According to the CLC, the proposed tariff measures had already led to cost increases of up to 18% on live projects, with developers reporting increases for each housing unit of up to £4,000.  

Rolled open steel sections have risen from £700 per tonne in early 2026 to £950 per tonne in April. 

NFRC fully supports the CLC’s call to consider a delay in the implementation of these tariff measures, or alternatively, the introduction of transitional arrangements to ease pressure until market conditions stabilise.  

NFRC contractors and suppliers are already battling skyrocketing prices this year alongside falling workload and enquiries in our latest Winter State of Industry report. The imposition of these tariffs for our sector, much of which is heavily reliant on steel products, would be another severe blow.

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