Sun, 06 Apr 2025

Sun, 06 Apr 2025 How PM might tackle impact of Trump tariffs

The BBC understands the PM is considering several options to mitigate the impact of US tariffs on the UK.

* The UK government will introduce policies to help British businesses cope with the US tariffs, which include a 25% tariff on car imports and a 10% tariff on all other imports.
* Sir Keir Starmer announced that he will relax the targets for electric vehicle sales in the UK, giving some flexibility until the 2030 deadline.
* The government is also considering extra time for makers of commercial petrol and diesel vans to comply with the 2030 ban.
* Smaller volume luxury car makers like Aston Martin and Rolls-Royce may be allowed to keep making petrol cars beyond the 2030 deadline.
* The UK government is exploring options to avoid a huge influx of goods being diverted to other markets, including the UK, due to the US tariffs.
* The Department for Business and Trade is in active discussions with the relevant regulatory body to implement safeguards to protect UK industry.
* The government plans to bring forward investment announcements into UK industry and infrastructure to support businesses affected by the tariffs.
* Officials are also working on securing better trade deals with countries hit harder by the US tariffs, including India.
* Industry leaders have expressed concerns about job losses in the car industry due to the tariffs, with one firm owner saying that US expansion plans are "in tatters".
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