(Bloomberg) -- The U.K. will rely on the European Union to make the case for an exemption from Donald Trump’s steel tariffs, even though the country is due to leave the bloc in a year’s time.
Trade Secretary Liam Fox said that while Britain remains in the EU it will abide by the club’s rules, which state that the European Commission conducts trade negotiations on behalf of its members.
The EU has drawn up plans to hit the U.S. with new duties after the president’s announcement, ahead of a formal trade dispute. Fox’s comments clarify the U.K. government’s position from last week, after officials suggested it could still accept an exemption for British products even if the U.S. did not apply the same leniency to the rest of the EU.
Fox will travel to Washington this week for talks with U.S. Trade Representative Robert Lighthizer and Commerce Secretary Wilbur Ross. “I will be making the case for the U.K. as part of the EU,” Fox told Parliament. “Our current membership of the European Union means that the European Commission will be coordinating the European response.”
Brexit campaigners such as Fox believe escaping the remit of the EU will allow the U.K. to reach its own trade settlements with countries such as the U.S. Talks have already begun on mapping out the basis for a trade agreement between Britain and the U.S. to come into force after Brexit.
In his statement to Parliament, Fox said countries with which the U.S. has strong security relationships could apply for exemptions from the tariffs. Businesses in the U.S. could also ask for relief for products that they rely on when there are national security considerations, Fox added.
The U.K. government will be working with U.S. companies to help them make the case for exemptions for British firms, he said. “We do disagree with the U.S. decision to implement tariffs on steel and aluminium imports,” Fox said. “These unilateral trade measures have weak foundations in international law.”