Brexit Will "further damage" UK Steel Industry says European Steel Association

The referendum on the UK's membership of the European Union has put a historic decision in the hands of the British people. The vote for Brexit does now represent another blow to the UK steel industry, its value chains and the wider economy, and would also have far reaching effects on the European steel sector.

"There are a number of foreseeable negatives and very few discernible positives now that the UK will end its membership of the EU", said Axel Eggert, Director General of the European Steel Association (EUROFER). "The UK steel industry is a vital component of the overall European steel sector, and Brexit throws its close integration into Europe's value chains into doubt. It is clear that Brexit will further damage the UK steel industry."

The UK steel sector heavily depends on the EU as a market for its steel products: in 2015 71% of its total flat products exports and 65% of its total long product exports were sold to EU countries. Around 13,000 people work in the UK steel industry.

Of particular importance is the UK's international trade position. Due to Brexit, the UK would have to find alternative arrangements for the conduct of its trade policy.  "Trade policy is much more effective as a bloc; inside the EU the UK gets a better deal internationally than it could ever hope to achieve outside", declared Mr Eggert.

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