Mar 30, 2025
Khushi Kumari
UK and EU Diplomats Urge Starmer to Confront Trump's Tariff Threats
UK and EU diplomats are urging PM Keir Starmer to adopt a firm stance against potential U.S. tariffs threatened by President Donald Trump
The U.S. is considering imposing 25% duties on imports of cars, steel, and aluminum, which could significantly impact the UK economy
Analysts warn that these tariffs could reduce UK economic growth by 1%, eliminating approximately £9.9 billion of fiscal headroom
Diplomats suggest that Starmer could take inspiration from Canada's strategy, where firm responses led to softened U.S. tariff positions
European diplomats emphasize the need for a coordinated EU-UK response to counter U.S. trade measures effectively
There are fears that escalating tariffs could trigger a global trade war, with devastating effects on international economies
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