“Businesses have been plunged into more uncertainty around the future of tariffs on UK goods after the President’s announcements last night.
“The signals from the White House, last week, had suggested there had been productive discussions around trade and the risk of punitive tariffs had receded.
“But we are now staring down the barrel again. Alongside steel and aluminium tariffs of 25% next week, we are also facing similar additional charges for copper and lumber.
“It is still uncertain if the UK can cut a deal around the new US reciprocal tariffs, due to take effect on April 2. These would apply an effective 24% tariff on affected UK goods, if VAT is factored in.
“The President also confirmed last night that tariffs on agricultural products will be introduced at the start of April.
“While there is some small comfort that a dialogue between the UK Government and US Administration is underway, the level of uncertainty on the trade landscape has soared.
“We believe that the effects of these proposed tariffs should be suspended while discussions between the UK and US are ongoing.
“Reaching agreement on trade and tariffs would allow companies on either side of the Atlantic to invest, export and grow from a solid platform of £300bn in bilateral trade each year, and £700bn of US inward investment stock in the UK.”
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05.03.2025
