Even if Trump slaps UK with tariffs, government has to think very carefully about retaliatingThere’s no political constituency for protectionism in this countryIncreasing costs of goods or food for your constituents is not attractiveA trade war doesn’t benefit anyoneHopes the UK won’t be targeted by TrumpBut if it happens, balanced trade with the US should reduce the risk of fresh tariffsFull transcript (may be gated)
The UK is one that is not directly targeted by Trump but would still be affected by the threat of blanket tariffs, which Trump is suggesting to be around 10% to 20% for now. So, there’s still a risk of that having an impact on the economic situation.
This article was written by Justin Low at www.forexlive.com.
