Trump Tariffs Hit North East, But Britain Sees Smaller Tax Than Most
Written by James Nicod on 3rd April 2025
North East business leaders have responded to the sweeping new tariffs announced by Donald Trump on April 2, warning they could hit several key industries in the region
Britain is facing down a 10% tax on imports to the US, but this is a comparatively low rate when compared to the 20% being placed on the EU, or the monstrous 50% on Lesotho, who have the dubious honour of being handed the highest tariff in yesterday’s spree.
John McCabe, CEO at the North East Chamber of Commerce, said: “The 10% tariff imposed on UK goods and services is at the lower end of the very long list President Trump presented last night, and we expect this to be the ceiling for the UK.
“The North East has around 4,000 exporters with trade worth around £2bn with the USA. Alongside other significant markets, such as the EU, these new terms will reset global trade.
“This is why it’s vital that the government, its diplomats and trade negotiators work hard for the best deal for UK firms and businesses right here in the North East.”
Along with the 10% tariff, a general 25% tariff on foreign automobiles was also applied, which may impact the North East’s investments from industry giants like Nissan.
A spokesperson for the North East Combined Authority said: “Headline statistics show we have lower exposure to the USA as a trading partner, but there is a detailed and nuanced picture across each sector.
“The total value of exports of goods to the USA was almost £2bn, about 14% of the value of goods exports to all markets.
“We know this is a President who can very suddenly change course, especially when it comes to trade policy, so this is a time for cool heads and a measured response from government and business.
“The Mayor has spoken to her business board, which is proactively supporting local businesses, they have a dedicated and specialist international trade team who have access to a global Chamber of Commerce network.”
The tariff announcements have already had a negative effect on US markets, with the Dow Jones Industrial Average down 1500 points and the New York Stock Exchange down 640.
