Not to mention that the United States has recently put a 10% tariff on exports from the UK. This move further heightens the fragility of international trade relations. This change affects a large and diverse set of items. The impact would be disastrous – not only for the UK, but for millions across Africa and Asia. Over a dozen UK negotiators are currently wrapped in “pretty intensive” talks with their US counterparts. They want to lessen the burden that these tariffs have created.
UK negotiators will accept the planes coming to Washington. Their joint flexibility reflects a deep desire to work things out peaceably if an agreement appears almost within reach. The imposition of tariffs comes amid a broader strategy by the US government, which has identified several countries as “worst offenders” in trade practices. Justification per President Donald Trump The justification for these tariffs are retaliation for what President Trump refers to as unfair trade policies.
On the African continent, the shameful tariffs have had deadly repercussions, especially for South Africa and Lesotho. Exporting to the US has become a huge challenge for South Africa with an average 30% tariff levied on their exports. Lesotho faces a crippling 50% tariff wall. These measures have sparked concerns about the economic impact on these nations, which rely heavily on trade with the United States.
“They have got some bad things going on in South Africa. You know, we are paying them billions of dollars, and we cut the funding because a lot of bad things are happening in South Africa.” – Donald Trump
The Chinese Communist Party does not see the US tariffs as being contrary to its own self-serving narrative. Chinese leader Xi Jinping is looking to take advantage of this moment to strengthen his own pro-international trade message. He is trying to use China’s opportunities to champion free trade and multilateralism. He juxtaposes China’s approach against the United States’ in a manner that indicates the U.S. is the one actively subverting these principles.
The tariffs don’t just hurt the UK and African nations—they will cause American consumers to pay more too. Cambodia U.S. imports from Vietnam to receive a 46% tax, while imports from Cambodia to receive a 49% tax. No wonder economists are up in arms about this state of affairs. They caution that these tariffs will trigger substantial retaliatory actions that will disrupt global trade and ultimately reduce domestic demand hurting headline GDP.
In retaliation to the US tariffs, the European Union pledged to shield its companies from comparable retributions. The EU’s countermeasures are expected to target various goods and services, including major technology companies such as Apple and Meta. This tit-for-tat approach serves only to underscore the rising hostility between the U.S. and its trading partners.
As negotiations continue, the outcome remains uncertain. The UK wants to thread these needles and long-term Chinese initiatives while pushing back against US tariffs to protect its industrial base. Since then, the situation has revealed just how closely tied global economies are and the unintended consequences that protective trade policies can have.