Black Country Chamber chief warns against 'all out trade war' in wake of US tariffs

New charges on aluminum and steel imports into the US came into effect last week, meaning US businesses importing aluminium and steel into the country now have to pay an extra 25% tax on them.

The UK Business Secretary has described Donald Trump’s decision to impose global tariffs on steel and aluminium as “disappointing” and said “all options” are on the table to respond in the national interest.

However Chief Executive of the Black Country Chamber of Commerce Sarah Moorhouse has said any potential trade war was not in the interests of the region's firms, and urged both governments to get round the negotiating table.

“This is a difficult day for trans-Atlantic trade and plunges businesses, in both the US and UK, into a new age of uncertainty," she said.

“Many of own Black Country members will now be facing up to negotiations on how the burden of these new tariffs will impact on their businesses.

“Despite the US government’s action, UK firms will want to keep trading with their customers and clients in the US and vice versa. Our commercial, investment and trading relationships remain strong.

“However today’s setback does not mean we have reached the end of the road in terms of negotiations. Tariffs can be lifted at any time."

Last week, Shropshire firm Bridgnorth Aluminium said the new tariffs would "add another dimension to the global uncertainty" firms are currently dealing with, warning that the firm would be less competitive as a result of the scheme.

The company said it was working with the Government alongside trade bodies to lobby for a deal between the two countries which reduces or removes the import tax altogether.

“Businesses will be looking to the UK government to continue discussions with the US, to resolve this situation and restore certainty for firms," added Sarah Moorhouse.

“Against this background, a series of tit-for-tat tariffs could easily spiral into an all-out trade war and would do the UK and businesses in the Black Country little benefit.

“It’s vital that we keep talks alive and retaliatory tariffs should only be used as a means of last resort.”