UK trade chief explains how Trump's trade tariffs will affect Britain following latest 'sledgehammer blow'
A lot of Brits - in particular, those who own businesses - have been left perturbed by Donald Trump's tariffs on steel and aluminium imports.
From today (12 March), there will be a 25 percent surcharge on any of the metals which are brought into the US from abroad, including on imports from the UK.
Industry bosses on our side of the pond have warned that Trump's hike in taxes on goods is comparable to 'taking a sledgehammer' to free trade, with UK Steel saying it will have 'huge ramifications'.
A host of people have been left pondering over what this actually means for our country, considering the US is our second largest export market for steel and aluminium after Europe.
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William Bain, head of trade policy for the British Chambers of Commerce (BCC), has now shared his expert opinion on what consequences Trump's tariffs will have for the average person in the UK.
He explained that this plunges both countries on either side of the Atlantic into a 'new age of uncertainty', while sharing a wartime-inspired call to action for business owners in Britain.
"Keep calm and carry on exporting," Bain told LADbible. "These are quite difficult times, but it's important to emphasise just how important our US/UK commercial relationships are.
"They've gone on for centuries, they will go on for centuries. We've had tariffs from the US before and we carried on trading. The important thing is not to panic.
"There will be some impacts here, but we can work to mitigate them.
"I think the strength of our commercial, cultural and many other ties with the US will win - we will get through this period and still continue to have a close relationship with the US economy and society."
Starting off with a dose of positivity might hopefully make the rest of Bain's assessment of the tariffs a bit easier to swallow - but don't worry, us lot don't come off too badly.
The trade policy chief, who advised on Brexit, explained that the BCC has been advising a host of UK firms over the last week about how to handle this situation - down to how to best go about contacting US customs.
Bain said it's a 'really worrying and uncertain time' for a host of business owners who are being forced to navigate this unknown territory alone, as these tariffs apply to a 'broad range' of steel and aluminium goods.
It's not just the likes of car manufacturers who will feel the hit, as the former Labour MP explained that a lot of 'downstream products' are also slapped with the 25 percent tariffs too, rather than just large-scale exports.
"Things like tinfoil, a sofa that's got a steel frame in it, construction materials that have steel plus a concrete element in it...it's goods that have steel in them which are now affected as well," he continued.
"So there's a big range of companies affected by it, and it is a concern."
Prime Minister Sir Keir Starmer said he intended to take a 'pragmatic approach' to the tariffs while negotiating an economic deal with the US.
Bain believes that the UK will probably start to notice the effects that the tariffs will have on trade with the US by mid-March, as he reckons there's going to be a significant reduction in what we're exporting.
Still, he remains certain that better days will be on the horizon soon enough...and if not, companies ought to consider prioritising commerce in other countries instead.
"Things will correct themselves over time," Bain said. "Companies are putting strategies in place, they'll look at diversifying trade as well. So they'll adjust, but it could be a painful few weeks or months ahead."
But it's our American counterparts who are going to bear the brunt of this fallout, as they are the ones who have to put their hands in their pockets and fork out for the 25 percent tariffs.
Bain reckons that consumers in the States could end up coughing up at least another £14billion a year for these costs.
Despite this, Trump insisted the introduction of the tariffs marks the 'beginning of making America rich again', promising they will protect US manufacturing and increase jobs.
"It is a matter of fact that it is going to be the importers in the States who have to pay these taxes in order for the goods to be released from the port and go into supply chains or warehouses or shops," Bain went on.
He added: "I think the concern for businesses over here is, will the customers in the US still want to buy at those prices? That is the concern, and also the uncertainty.
"[Trump] has chopped and changed an awful lot, sometimes every couple of hours. So businesses don't know whether they are coming or going."
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Olivia Burke