THE UK must rejoin the EU single market and customs union as Donald Trump’s 25% tariffs on steel and aluminium imports take hold, the SNP have said.
The UK exports hundreds of millions of pounds worth of steel to the US per year, which will be subject to the levy.
The SNP said the development proves the US has become a “unreliable ally”, something Keir Starmer said he did not agree with following the clash between Trump and Ukraine President Volodymyr Zelenskyy.
The EU is facing the same tariffs but said on Wednesday it would impose counter-tariffs on €26 billion (£22bn) of US goods, while Canada also responded with countermeasures.
The move from the US has prompted warnings of job losses in the already beleaguered UK steel industry, which counts the US as its second largest export market behind the European Union.
Gareth Stace, director-general of UK Steel, said the move was "hugely disappointing" with some steel company contracts having already been cancelled or been put on hold. In his previous term in office, Trump slapped colossal tariffs on Scotch whisky sparking fears of further harm to Scotland's industries.
Starmer raised the subject of tariffs with Trump when he visited the White House last month, but there are no exemptions for any country.
Asked at the time if the Prime Minister had convinced him not to impose trade tariffs on the UK, Trump said "he tried", adding: "He was working hard, I'll tell you that. He earned whatever the hell they pay him over there."
(Image: Carl Court/PA Wire)
The SNP's economy spokesperson Dave Doogan has said Starmer's approach has failed and the EU is where protection lies.
Doogan said: "Despite Keir Starmer's begging and pleading, Donald Trump has hammered the UK with tariffs.
“As we've seen with both Ukraine and now with colossal tariffs on our industries, the US is not a reliable ally and it's now clear that economic protection and security comes from the EU.
Tariffs could lead to US companies buying less from overseas.
Another knock-on effect could be more cheap steel flooding other markets, including the UK, as trade is redirected, putting additional pressure on domestic producers.
Unite general secretary Sharon Graham called on the Government to "act decisively" to protect the steel industry.
Liam Bates, president of long products at Marcegaglia, a steel maker in Sheffield, said the tariffs are “very unhelpful”.
Between 15% and 20% of what Marcegaglia melts in Sheffield is sent to the US, across both semi-finished and finished steel products, he told PA news agency.