While President Trump’s second term in office has only lasted three weeks, there have already been some major adjustments to US tariffs, but which ones impact the UK?
Some UK businesses have already been impacted by one Trump imposed tariff amendment and look to be set to be impacted by another.
Trump’s executive order to hike Chinese import duty rates by 10% went live on February 4th. While targeted at China, this does increase costs for UK businesses that sell in the US market but source from China.
Meanwhile, a 25% tariff on steel and aluminium was announced by Trump this week. Due to be effective from March 12th, the president has stated there would be no exceptions.
The UK is understood to have exported approximately 170 thousand tonnes of steel to the US last year. With a revenue of £400 million, and as the UK’s second largest steel export market, the US is a long way behind its exports to the EU and only represents around 5% of the UK’s total steel exports.
It is worth reflecting on comments from Trump last week. When questioned about the UK, Trump said that he was confident the UK situation “can be worked out”, which is understood to mean without tariffs.
If so, that will come as positive news for British exporters, even if it’s a long way from being guaranteed. Of course, your team at Global Freight Services will be monitoring the situation closely.
