Record Fall in British Exports to US as Tariffs Bite
British exports to the US plummeted in April following tariff impositions by President Trump. The decline pushed the UK goods trade deficit to its widest in over three years, with official figures signaling a 33% drop from March, affecting the UK GDP and trade dynamics.
British exports to the United States saw a steep decline in April, as tariffs imposed by U.S. President Donald Trump took effect. This led to a significant widening of the UK goods trade deficit, which reached its highest level in more than three years, as reported by official figures on Thursday.
Exports to the United States fell to 4.1 billion pounds from 6.1 billion pounds in March, marking the biggest monthly drop since records began in 1997. The 2 billion pound decrease represents a 33% reduction, contributing to an unexpected GDP fall in April, according to the Office for National Statistics.
Despite efforts to avert increased tariffs by shipping goods earlier, UK exports remain 15% lower year-on-year. The United States, a crucial market for UK exporters, especially car manufacturers, imposed 25% tariffs on steel and aluminium and raised those on cars to 27.5%. In an attempt to alleviate these tariffs, the UK has formed a deal to remove extra tariffs on steel, aluminium, and cars, though its implementation is pending.
(With inputs from agencies.)
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