‘Nothing is off the table’ in response to Trump tariff threats, Downing Street says
Downing Street has insisted “nothing is off the table” when it comes to the UK’s response to Donald Trump’s renewed threats of global tariff hikes, amid speculation about whether Sir Keir Starmer will retaliate.
The US president has questioned Britain’s preferential tariff deal with the US, threatening to impose 15 per cent global tariffs following his defeat at the US Supreme Court.
Downing Street insisted talks between the UK and the US were “taking place at all levels” but did not rule out reciprocal action if increased duty was introduced.
Asked what steps the government planned to take in response to the US president, the Prime Minister’s official spokesman said: “Our approach to the US has always been pragmatic. We continue to have productive discussions with them… and those discussions are happening at all levels but nothing is off the table at this stage.”
“The industry does not want to see a trade war where both sides escalate and so our focus is on building constructive relationships with our US counterparts to maintain the UK’s competitive advantage.”
The US president’s previous tariffs were imposed on much of the world under emergency powers legislation last April.
Britain had previously received the lowest tariff of 10 per cent, and the subsequent deal reached between the prime minister and Mr Trump led to further cuts for Britain’s steel industry and car makers.
But questions were raised about whether these agreements were still valid after the US president promised to replace the 10 percent tax struck down by the Supreme Court with an increased rate of 15 percent.
Officials are understood to believe the changes will not affect the bulk of Britain’s trade with America, but the Prime Minister’s spokesman was unable to give a timetable for when the Government might gain clarity on how the tariffs might apply to British goods and services.
The spokesman also noted that US Trade Secretary Peter Kyle met with his US counterpart Jamieson Greer at the weekend and “underlined his concerns about further uncertainty for business and reinforced the need for the UK-US agreement to be respected”.
The spokesman added: “UK teams in Whitehall and Washington also continue to engage with the US administration at all levels. These discussions will continue this week. Our priority throughout is to deliver the best possible outcome for British businesses.”
“As you would expect, the discussions are still ongoing and this is an evolving situation. We will therefore not be making any ongoing comment on the discussions beyond the issues I have just raised, but whilst we understand the uncertainty this creates, business and the British public can be assured that we remain focused on protecting them and the national interest.”
On Sunday, Bridget Phillipson also said the government “hopes and expects” a preferential tariff deal but refused to rule out the possibility of retaliatory tariffs being imposed.
Asked whether Britain planned to retaliate against Mr Trump’s latest tariff threat, Ms Phillipson told Sky News: “We always stand up for what is right for Britain. And I think the prime minister has shown that with the approach he has taken on Greenland.”
“But the truth is, if you want to get things done, it’s better to do it behind the scenes.”
