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The UK stated it was “disappointing” that the US imposed tariffs on British metal and aluminium imports, however stopped in need of saying retaliatory measures because it promised to take a “pragmatic approach” it believes might shelter it from future levies.
“It’s disappointing the US has today imposed global tariffs on steel and aluminium,” stated Jonathan Reynolds, enterprise and commerce secretary, after a 25 per cent levy on metal and aluminium got here into power in a single day.
“We are focused on a pragmatic approach and are rapidly negotiating a wider economic agreement with the US to eliminate additional tariffs and to benefit UK businesses and our economy.”
However regardless of not instantly retaliating, he added: “We will keep all options on the table and won’t hesitate to respond in the national interest.”
The UK’s choice was starkly totally different from the EU, which instantly hit the US with €26bn of retaliatory tariffs on American items.
Commerce physique UK Metal warned the tariffs “couldn’t come at a worse time” because the business is already going through excessive power prices and sluggish demand.
The calculation in London is that the US tariffs, which can add £100mn to the price of UK metal exports, usually are not sufficiently big to set off a full scale response, which might inflame relations in Washington.
British officers say Prime Minister Sir Keir Starmer and Reynolds hope that an “economic deal” with Washington — initially based mostly on co-operation in areas comparable to know-how and synthetic intelligence — might take Britain out of the road of fireplace in what could possibly be an escalating transatlantic commerce struggle.
That proposed settlement was mentioned by Starmer and President Donald Trump on the White Home final month, however it’s removed from clear whether or not it may be negotiated, or whether or not in the end it will likely be enough to spare Britain from additional tariffs.
Final month Trump advised Starmer on the White Home he thought the UK and US might find yourself with a “real trade deal” with out tariffs and referred to as the prime minister a “tough negotiator”.
Starmer urged Trump to not impose new metal tariffs on Britain in a cellphone name over the weekend and Reynolds made related pleas to his US counterpart Howard Lutnick, however to no avail.
Britain’s softly-softly method to the Trump commerce struggle, enabled by the UK’s exit from the EU and its frequent business coverage, will likely be considered warily in Brussels, particularly as Starmer is looking for to “reset” relations with the EU within the coming months.
Within the brief time period Britain’s response to the US metal and aluminium tariffs will likely be targeted on wider authorities assist for the sector, together with a plan to chop the power payments of heavy business. “We remain resolute in our support for UK industry,” Reynolds stated.
He stated the federal government was additionally backing business’s utility to the Commerce Cures Authority — an arm’s size physique — to “investigate what further steps might be necessary to protect UK producers”.
Britain already has some “safeguards” in place to guard its metal business from low cost imports of some merchandise above a sure degree — with tariffs of 25 per cent — that are in place till June 2026.
Reynolds stated: “I will continue to engage closely and productively with the US to press the case for UK business interests. We will keep all options on the table and won’t hesitate to respond in the national interest.” He stated the federal government had dedicated as much as £2.5bn to assist rebuild the sector.
