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Roundup: UK industries voice concern over U.S. tariffs on imports

0 Comment(s)Print E-mail Xinhua, April 3, 2025
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LONDON, April 3 (Xinhua) -- The British government and business groups on Wednesday voiced broad concern after U.S. President Donald Trump announced a 10 percent tariff on all British imports, warning that the move could disrupt bilateral trade and put pressure on struggling sectors, including manufacturing and small businesses.

After Trump's announcement, Business and Trade Secretary Jonathan Reynolds said the government would continue negotiations with the United States to seek a resolution. "We will always act in the best interests of UK businesses and consumers. Nobody wants a trade war," he said.

Britain received the lowest tariff rate of 10 percent, lower than the 20 percent imposed on the EU and higher rates on several Asian countries. However, business groups warned that the tariffs, even at 10 percent, could weigh heavily on UK industries.

"There are no winners in a trade war," said Rain Newton-Smith, Chief Executive of the Confederation of British Industry, adding that Trump's announcement is "deeply troubling for businesses and will have significant ramifications around the world."

Echoing Newton-Smith, Stephen Phipson, CEO of the manufacturing group Make UK, called the move "devastating."

Noting that the tariff could disrupt the long-standing balanced trade between the UK and the United States, Phipson said, "It is highly disappointing that the strength of this relationship, at a time of where both countries need to boost shared growth, employment opportunities and innovation options, does not extend to enhancing free trade rather the reverse, the consequences of which will immediately harm the U.S. consumer and economy too."

The automotive sector faces additional pressure as vehicles have been subject to a 25 percent tariff. "These tariff costs cannot be absorbed by manufacturers," said Mike Hawes, chief executive officer of the Society of Motor Manufacturers and Traders, warning of higher costs for U.S. consumers and reduced demand for British exports.

The Federation of Small Businesses (FSB) said small exporters would be hit hard, as 59 percent of them trade with the United States. "Tariffs will cause untold damage to small businesses trying to trade their way into profit," said Tina McKenzie, the FSB's policy chair.

Scotland's whisky producers also expressed disappointment, as the United States is the largest single export market for Scotch whisky. A spokesperson for the Scotch Whisky Association said the industry supported ongoing efforts by the British government to negotiate a deal, warning that higher tariffs could hurt sales and reduce competitiveness. Enditem

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