Anticipated Steel Shortages and Price Increases in Ireland Due to UK Import Measures
From 1 July 2026, the UK will implement a significant reduction in steel import quotas of approximately 60%, alongside an increase in tariffs to 50%. Although these measures are specific to the UK, they will have a direct and immediate effect on Ireland due to the close relationship between both markets.
We are writing to outline the expected impact of the recently announced UK steel import measures on the Irish market, with particular emphasis on the likely shortages and price increases for structural steel sections.
From 1 July 2026, the UK will implement a significant reduction in steel import quotas of approximately 60%, alongside an increase in tariffs to 50% on any material imported above those quotas (up from 25%). These changes will make importing steel into the UK substantially more difficult and expensive, with quotas expected to be filled very quickly.
Although these measures are specific to the UK, they will have a direct and immediate effect on Ireland due to the close relationship between both markets and, importantly, the fact that both operate using British Standard (BS) section sizes.
Ireland relies heavily on the same supply base as the UK for BS structural sections (including Universal Beams, Columns, and Channels). However, most European mills produce steel to EN standards rather than BS sizes. This means that Ireland is dependent on a relatively limited number of global suppliers capable of producing British sizes.
As UK import quotas tighten, the availability of these BS sections will reduce significantly. UK buyers, facing restricted access to imports, will compete more aggressively for available material — both domestically and internationally. This will inevitably draw supply away from Ireland and place upward pressure on prices.
Expected Impact
In practical terms, this is expected to result in:
- Reduced availability of BS structural sections in the Irish market
- Increased lead times as supply becomes more constrained
- Significant upward pressure on prices, particularly for merchant bar, sections, and hollow sections (CHS/SHS/RHS)
- Increased competition for available stock as UK demand intensifies
Even though Ireland is not directly subject to UK quotas, price increases will inevitably spill over. UK mills will raise prices within a protected market, while UK buyers will seek alternative sources of supply, often competing for the same material that would otherwise be available to Ireland. In addition, some importers may redirect material into the EU market, creating further volatility rather than stability.
Supply Volatility
Supply patterns are also likely to become increasingly unpredictable. While some global mills may divert product away from the UK into EU markets, others will prioritise higher-margin UK sales despite the tariffs. As a result, Ireland should expect greater volatility rather than any meaningful increase in supply.
A further risk arises when UK quotas are reached — something that is expected to occur early in each quarter. At that point, UK buyers will either absorb the 50% duty or accelerate purchasing earlier in the cycle. This behaviour will create demand spikes and result in mills prioritising UK orders, further reducing the availability of material for the Irish market.
EN Section Alternatives
While European EN sections may offer an alternative in some cases, substitution is not always straightforward. Differences in dimensions and specifications mean that switching from BS to EN sections typically requires engineering approval and potential redesign, which can lead to delays and additional costs.
Outlook and Recommendations
For Irish-based steel buyers, the overall outlook is clear: higher base prices, tighter supply conditions, and less predictable availability over the coming months.
In the short term, UK demand is expected to absorb a significant portion of available BS-compliant material, effectively tightening supply into Ireland. Over time, this may encourage a gradual shift toward greater use of EN section sizes; however, this transition will take time due to established design practices.
Given these developments, it is advisable to consider early procurement where possible, maintain flexibility in specifications, and engage with engineers and consultants regarding potential alternatives.
We will continue to monitor the situation closely and provide further updates as the market develops.
Any queries, contact Pat Enright directly at pat@irishsteel.ie or 087 942 6081.