UK-US commerce honest, No 10 says in face of Trump tariff fears | EUROtoday
Political reporter

The UK and US have a “fair and balanced trading relationship which benefits both sides of the Atlantic”, Downing Street has mentioned.
The feedback come after US President Donald Trump imposed commerce tariffs – taxes on items imported from different nations – of 25% on neighbours Canada and Mexico, and threatened comparable motion towards the EU.
Asked concerning the UK, Trump informed the BBC the commerce relationship has been “out of line” however might be “worked out”.
Prime Minister Sir Keir Starmer is in Brussels for a gathering of EU leaders as a part of an ongoing bid to “reset” relations, together with exploring shut ties on commerce.
However, if the UK forges stronger hyperlinks with the EU, that would anger the US and danger the UK getting caught up in a commerce conflict. Similarly the EU would possibly object to Sir Keir siding with the US relatively than its European neighbours.
Asked concerning the relationship with the US, No 10 mentioned the prime minister trusts Trump and pointed to “a really constructive early set of conversations” between the 2 males.
“We’ve got a fair and balanced trading relationship which benefits both sides of the Atlantic,” the spokesman added.
“It’s worth around £300bn and we are each other’s single largest investors, with £1.2tn invested in each other’s economies.”
Following Trump’s tariffs bulletins over the weekend, European and Asian inventory markets fell, with automotive producers notably badly hit.
The UK was additionally impacted however to a lesser impact than the EU.
Analysis produced final yr by the University of Sussex urged the the UK might face a £22bn hit to exports if the US imposed a blanket 20% tariff on all imports.
The prime items exported from the UK to the US embrace automobiles, medicinal and pharmaceutical merchandise and mechanical energy mills.
Trump believes imposing tariffs will assist develop the US economic system and defend jobs, nevertheless it might result in shoppers paying extra as costs modify to the taxes.
Other leaders reacted angrily with Canada instantly asserting retaliatory tariffs of 25%.
French President Emmanuel Macron mentioned that if EU pursuits had been attacked, the buying and selling bloc must “make itself respected and thus react”.
EU overseas coverage chief Kaja Kallas mentioned: “There are no winners in trade wars.”
If there is a commerce conflict with the US, “then the one laughing on the side is China”, she added.
Speaking on Sunday, Sir Keir was extra cautious than his EU allies, saying: “It is early days. What I want to see is strong trading relations.”
Asked if he would put tariffs on the UK, President Tump mentioned: “UK is out of line but I’m sure that one… I think that one can be worked out.”
He added that his discussions with the British prime minister had “been very nice” including: “We’ve had a couple of meetings. We’ve had numerous phone calls. We’re getting along very well.”
The UK needs to construct stronger commerce hyperlinks with the US but in addition the EU which is a part of the motivation for the prime minister’s journey to Brussels.
The focus of the summit is defence, however the UK additionally needs to debate easing restrictions on the commerce of meals and animal merchandise and cooperation on emission buying and selling schemes.
The mutual recognition {of professional} {qualifications} and permitting touring musicians to journey extra simply are additionally areas of curiosity.
The EU is eager to arrange a youth mobility scheme, which might make it simpler for younger EU residents to review and work within the UK and vice versa. However, ministers have thus far rejected the concept.
Downing Street has not dominated out becoming a member of the Pan-Euro-Mediterranean Convention, which might enable tariff-free commerce on some items.
The Conservatives have accused the federal government of “trying to reopen the divisions of the past and edge us back into the EU”.
In distinction, Liberal Democrat chief Sir Ed Davey has been urging the federal government to barter a brand new UK-EU customs union, permitting tariff-free commerce between the 2 sides.
https://www.bbc.com/news/articles/c3e1wnvkzeyo