The UK is about to face tariffs enforced by US President Donald Trump, with the measures expected to commence on April 2.
Trump has dubbed this date ‘liberation day’, arguing that increasing the cost of foreign goods in the US will motivate Americans to purchase locally and strengthen their industry.
However, individuals in the US who rely on imported goods will inevitably bear the brunt of these changes.
The UK and US have been engaged in ‘productive discussions’ aimed at reaching a trade agreement that could prevent these tariffs, but time is running out.
A spokesperson from Downing Street stated (via Sky News): “They talked about the fruitful negotiations between their teams regarding a UK-US economic agreement, affirming that discussions will advance swiftly this week.”
In come the new tariffs, unless the UK can secure a trade deal very quickly (Win McNamee/Getty Images)
If an agreement to exempt the UK from tariffs cannot be finalized, Prime Minister Sir Keir Starmer has indicated that the UK ‘reserves the right’ to impose reciprocal tariffs on American goods.
A trade war will not benefit anyone, but if the US imposes a 25 percent tariff on car imports, it will be quite detrimental, and implementing reciprocal tariffs could serve as leverage for urging Trump to reconsider.
The specifics of the UK’s potential tariffs remain uncertain, but the BBC reports that they might target particular products deemed significant by the US.
Harley Davidson motorcycles have been mentioned as a likely candidate for reciprocal tariffs, with notable American brands being potential targets.
The Daily Mail reported that Jack Daniel’s whiskey and Levi’s jeans may also be subjected to tariffs, making them appear pricier and less appealing in the UK market.
The European Union has prepared reciprocal tariffs for such items in the case of a trade conflict, and the UK might consider doing likewise.
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Harley Davidson motorbikes, Jack Daniel’s whisky and Levi’s jeans are among the main targets of EU tariffs, and the UK may decide to do similar (Carsten Koall/Getty Images)
UK trade chief William Bain previously cautioned LADbible that Trump’s tariff initiative has ushered in a ‘new era of uncertainty’, but encouraged businesses to ‘keep calm and continue exporting‘.
In advance of the tariffs, citizens in various countries are already boycotting US products, while experts have informed the BBC that imposing tariffs on the US service sector would be considered the ‘nuclear’ option.
Home Secretary Yvette Cooper remarked that discussions with the US are ‘intense’ and ongoing.
She stated: “We obviously can’t keep a running commentary on different discussions that are taking place, but we must ensure that our actions align with national interests.”
If tariffs are implemented, the UK’s response will be closely scrutinized.