India has joined countries including China, Japan and South Korea in challenging the United Kingdom’s proposed steel safeguard measures at the World Trade Organisation, as per news reports.
The objections were raised during a WTO Goods Council meeting after the UK proposed reducing tariff-free steel import quotas from July 1, 2026, and increasing duties on imports exceeding those quotas to 50%.
Japan and South Korea reportedly introduced the issue during discussions at the WTO, while countries including India, China, Brazil, Australia, Switzerland and Turkey supported the concerns raised against the proposed measures.
The countries argued that global steel overcapacity should be addressed by tackling underlying structural issues rather than imposing restrictive import barriers. Concerns were also raised regarding whether the proposed safeguards align with WTO rules.
India is simultaneously attempting to resolve the issue directly with the United Kingdom through bilateral discussions.
The matter has also affected the operationalisation timeline of the India-UK Comprehensive Economic and Trade Agreement, which concluded negotiations in July 2025.
Under the agreement, the UK had committed tariff elimination on 99% of goods traded with India. However, Indian officials believe the newly proposed steel restrictions create an additional trade burden that was not part of the original negotiations.
India’s iron and steel exports to the UK stood at nearly $900 million in FY26, with a significant portion potentially exposed to the new safeguard measures.
Rajesh Agrawal, Commerce Secretary of India, said both sides are continuing discussions to resolve the issue.
“We are working together to find a creative solution around the steel measure and operationalise the CETA at an early date,” Agrawal said.
According to industry sources, one of the possible solutions under discussion involves creating a dedicated India-specific quota within the UK’s revised steel import framework.
The UK reportedly defended its position during the WTO discussions, stating that the proposed safeguards are necessary to protect the country’s domestic steelmaking industry.
According to trade officials, the UK described the measures as legitimate and justified amid concerns surrounding global steel market conditions.
Read More: China Export Curbs Raise Concerns for Indian Electronics Manufacturers!
The dispute over UK steel safeguards has added fresh complexity to India-UK trade ties, with New Delhi pursuing both multilateral and bilateral channels to protect steel exports and secure operationalisation of the trade agreement.
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Published on: May 22, 2026, 11:06 AM IST
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