No UK Exemption As Trump Slaps 25% Tariff On Cars

The UK will not be exempt from the 25% tariff that President Trump has just put on the import of cars.

The new US tariff will apply to worldwide imports of cars and will be effective from April 2nd. Car parts will also be subjected to the new tariff, although we understand that will not be coming in until May.

Trump believes the measures will lead to “tremendous growth” for the automobile industry, although many analysts believe this could have a detrimental impact on US car manufacturing and will raise prices for end users.

After Mexico, Japan, South Korea, Canada and Germany, the UK is the next biggest supplier of cars to the US.

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The newly announced tariffs will be of significant concern to both the UK's government and car industry. Over 18% of UK car exports are currently destined for the US.

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Cars are also the UK's biggest export product and were worth £8.2 billion last year. That value of product will very soon be subject to £2 billion in additional duties.

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