Prime Minister Keir Starmer has spoken out over the tariffs President Donald Trump has introduced
Sir Keir Starmer has responded after Donald Trump hit steel and aluminum imports with 25 percent tariffs.
Jobs in the UK steel industry could be in jeopardy following a setback in trade talks, as the UK failed to secure an exemption from US President’s global tariffs on metal imports. In response, the European Union has announced retaliatory measures, imposing tariffs on American goods. However, UK Prime Minister has resisted pressure to launch an immediate counterattack.
At Prime Minister’s Questions, Sir Keir Starmer expressed his disappointment, stating: “I’m disappointed to see global tariffs impacting steel and aluminum.”
“We’ll adopt a pragmatic approach,” he added. “The UK is in the midst of negotiating an economic deal that will include tariffs, if we succeed. But we will keep all options on the table.”
The new tariffs on UK exports to the US took effect on March 12, imposing a flat 25% duty on metal goods entering the United States, effectively eliminating all country exemptions overnight. This move threatens to impact jobs and trade between the two nations, leaving the UK steel industry in a vulnerable position.
UK Trade Minister Jonathan Reynolds expressed his disappointment over the new US tariffs, calling the move a betrayal of the longstanding alliance between the two nations. “It’s against the spirit of our two nations’ enduring friendship and fundamentally at odds with the benefits our economic partnership has delivered over more than 70 years,” he said.
In retaliation, the European Union announced it would impose duties on €26 billion ($28.3 billion) worth of US goods.
However, President Biden defended the hikes, stating that the increased tariffs are aimed at giving a much-needed boost to steel and aluminum production in the United States.
Canada, meanwhile, is particularly upset by the tariffs, as President Trump has threatened to escalate the situation by doubling the tariffs to 50% on Canadian steel and metal imports. The trade tensions have left several nations scrambling to assess the long-term impact on their economies.
The new 25% tariffs on steel and aluminum are expected to be devastating for Mexico and Brazil, which, along with Canada, are among the largest suppliers of these metals to the United States.
Meanwhile, Australian Prime Minister Anthony Albanese has strongly condemned the decision, calling it “entirely unjustified.”
On the other hand, the American Iron and Steel Institute (AISI), which represents US steelmakers, has applauded the move, claiming it will create jobs and stimulate steel manufacturing within the country. AISI President Kevin Dempsey expressed support, stating, “AISI applauds the president’s actions to restore the integrity of the tariffs on steel and implement a robust and reinvigorated program to address unfair trade practices.”
However, critics argue that the tariff hikes could set off a domino effect on prices for US consumers, potentially impacting industries like aerospace, automotive manufacturing, and construction, and could undermine broader economic growth.
