The United Kingdom government has vowed to defend British businesses after Donald Trump imposed a 10% tariff on UK imports, with Business and Trade Secretary Jonathan Reynolds insisting that the US remains “our closest ally” but warning that “nothing is off the table” in response.
Following the US president’s nearly hour-long address, Reynolds reaffirmed the government’s commitment to protecting UK businesses while stressing the importance of maintaining economic ties with Washington.
“We will always act in the best interests of UK businesses and consumers,” he said. “That’s why, throughout the last few weeks, the government has been fully focused on negotiating an economic deal with the United States that strengthens our existing fair and balanced trading relationship.”
According to Sky News, Reynolds echoed recent assurances from the prime minister and cabinet ministers, reiterating that the government remains “calm and committed to doing this deal” while acknowledging the potential impact of Trump’s announcement.
However, he issued a clear warning: “We have a range of tools at our disposal, and we will not hesitate to act. We will continue to engage with UK businesses, including on their assessment of the impact of any further steps we take.
“Nobody wants a trade war, and our intention remains to secure a deal. But nothing is off the table, and the government will do everything necessary to defend the UK’s national interest.”
The opposition has seized on the development, with Conservative Party shadow business and trade secretary Andrew Griffith calling the tariff move “disappointing news which will worry working families across the country.”
ALSO READ: US stock futures plummet as investors react to Trump’s tariffs
He criticised the government for failing to engage effectively with Trump’s administration in the months following the election, arguing that delays and a lack of top-level negotiations had contributed to the imposition of tariffs.
“The chancellor’s emergency budget of just a week ago, with its inadequate headroom, is now at risk, casting uncertainty about more taxes or spending cuts,” Griffith said. “Sadly, it is British businesses and workers who will pay the price for Labour’s failure.”
He urged ministers to return to the negotiating table to “agree a fair deal to protect jobs and consumers in both the UK and the US alike.”
Liberal Democrat leader Sir Ed Davey also condemned Trump’s decision, describing it as a “destructive trade war” and urging the UK government to push back against the tariffs.
“The prime minister should bring our Commonwealth and European partners together in a coalition of the willing against Trump’s tariffs, using retaliatory tariffs where necessary and signing new trade deals with each other where possible,” he said.
Trump unveiled the sweeping tariffs during a White House event titled ‘Make America Wealthy Again,’ where he displayed a chart highlighting nations targeted by the measures. The UK’s 10% rate appears to be linked to its 20% VAT, with Trump suggesting an imbalance in trade between the two countries.
According to Capital Economics, the tariffs could reduce UK GDP by between 0.01% and 0.06%. Additionally, a 25% duty on all car imports worldwide is set to take effect from midnight in the US, equivalent to 5am UK time on Thursday.
ALSO READ TOP STORIES FROM NIGERIAN TRIBUNE
and then