Steel British workers say levy would be a 'devastating blow'

UK steelmakers have warned that the imposition of new US tariffs would be "a devastating blow" to the industry, after Donald Trump said he would announce 25% tariffs on steel and aluminium imports into the US.

- Julia Kollewe, Graeme Wearden

Gold reached a record high and aluminium prices rose as financial markets were rattled by the US president's comments, which caused concern in Britain and the European Union.

Gareth Stace, the director general of the trade body UK Steel, said: "The US is our second-largest export market after the EU. At a time of shrinking demand and high costs, rising protectionism globally, particularly in the US, will stifle our exports and damage over £400m worth of the steel sector's contribution to the UK's balance of trade."

Stace said it would be "deeply disappointing" if Trump decided to target UK steel, given its "relatively small production volumes compared to major steel nations".