§ Mr. HoyleTo ask the Secretary of State for Trade and Industry if she will make a statement on the future of UK steel production and US tariffs on UK steel. [180060]
§ Jacqui SmithThe overall prospects for UK steel production look encouraging. According to the Iron and Steel Statistics Bureau, UK steel production rose by 4.9 per cent. in March 2004 and by 7.2 per cent. to reach 3.3 million tonnes for the first quarter of 2004. The UK monthly total was the second highest in over two years. World demand is strong largely as a result of the expansion of the Chinese economy. In terms of the UK steel market, the most recent CBI Business Survey shows manufacturing in a more positive light with output expected to increase over the next three months at its fastest pace since 1999.
I am pleased that following a ruling of the WTO Dispute Settlement Body, which was subsequently confirmed by an Appeal Panel, President Bush removed safeguard tariffs on steel on 4 December 2003.