Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders (SMMT), has said the US President’s tariffs on the UK is “deeply disappointing and potentially damaging.”
As a result, vehicle manufacturers could be forces to “review output” the SMMT has warned.
The US President Donald Trump placed 25% tariffs for cars and a 10% levy on all UK goods being imported to the US.
Hawes said, “The announced imposition of a 10% tariff on all UK products exported to the US, whilst less than other major economies, is another deeply disappointing and potentially damaging measure.
“Our cars were already set to attract a punitive 25% tariff overnight and other automotive products are now set to be impacted immediately.
“While we hope a deal between the UK and US can still be negotiated, this is yet another challenge to a sector already facing multiple headwinds.
“These tariff costs cannot be absorbed by manufacturers, thus hitting US consumers who may face additional costs and a reduced choice of iconic British brands, whilst UK producers may have to review output in the face of constrained demand.
“Trade discussions must continue at pace, therefore, and we urge all parties to continue to negotiate and deliver solutions which support jobs, consumer demand and economic growth across both sides of the Atlantic.”
Leave a Comment