UK, France team up to tackle Trump’s new tariff policy

UK’s Prime Minister Sir Keir Starmer and French President Emmanuel Macron held discussions on April 5 regarding the new tariffs imposed by the US, following President Donald Trump's announcement of significant changes to trade policies.

During their call, the two leaders expressed deep concerns about the potential global economic and security repercussions of the new taxes, especially their impact on Southeast Asia, Caliber.Az reports via foreign media. 

The timing of the conversation coincided with Jaguar Land Rover’s (JLR) decision to "pause" shipments to the US while it adapts to the new trading terms set by President Trump. The company revealed that it is working to "address the new trading terms" and is reassessing its long-term strategies in light of the evolving global trade landscape.

The tariffs, which have significantly affected global trade, took effect on April 5 morning, with a 10 per cent tax on goods imported into the US from around the world. A 25 per cent tariff on foreign car imports had already been implemented earlier on April 3. These moves are part of a broader strategy announced by Trump to reshape international trade and reduce America's trade deficits. JLR’s announcement highlights the difficulties businesses are facing as they adapt to these new trade regulations. 

The UK, which has maintained a 10 per cent tariff rate, is not immune to the challenges. Other nations are set to experience even higher tariff rates in the coming weeks. Among the hardest-hit regions is Southeast Asia, where imports from Vietnam are now subject to a 46 per cent tariff, and imports from Cambodia face a 49 per cent rate. Imports from France, which fall under the EU category, will face a 20 per cent tariff. In a readout of the call, a Downing Street spokesperson noted: “They agreed that a trade war was in nobody’s interests but nothing should be off the table and that it was important to keep business updated on developments.” 

The spokesperson also highlighted the leaders' shared concerns over the "global economic and security impact, particularly in Southeast Asia." Despite the economic turmoil, President Trump remains resolute in his stance.

In a post on his TruthSocial platform, he urged Americans to “hang tough” and emphasized the long-term benefits of the tariffs, stating: “We are bringing back jobs and businesses like never before. Already, more than FIVE TRILLION DOLLARS OF INVESTMENT, and rising fast! THIS IS AN ECONOMIC REVOLUTION, AND WE WILL WIN. HANG TOUGH, it won’t be easy, but the end result will be historic.” Protests against Trump’s trade policies have erupted in various parts of the world.

In London, demonstrators gathered in central areas to voice their opposition to the president’s administration and its aggressive stance on tariffs.

By Naila Huseynova