US tariffs hit most UK goods

Tariffs are now the default setting for a lot of UK goods entering the U.S. That is the basic fact to keep in mind. The U.S.-UK deal did not restore pre-tariff trade. It mostly created exceptions around a few politically sensitive sectors — cars, aerospace, steel, and aluminum — while the broader 10% tariff stays in place for most British exports. (commonslibrary.parliament.uk) ### What actually changed? The big break came on April 2, 2025, when Washington announced a new blanket tariff on imports from many countries, including the UK. For Britain, that meant most goods entering the U.S. picked up an extra 10% tariff from April 5. Cars and car parts were treated even more harshly, with separate 25% tariffs already in place, and steel and aluminum were handled under their own Section 232 regime. (backup.ons.gov.uk) ### Didn’t the UK get a trade deal? Yes — but “deal” overstates what it fixed. The Economic Prosperity Deal, agreed on May 8, 2025, was more like damage control than a return to normal commerce. It set up a 10% tariff rate fo(backup.ons.gov.uk)s” to further negotiation, which tells you the broad problem was not solved. (gov.uk) ### Why does “most UK goods” matter? Because sector carveouts sound bigger than they are. If you only read the headlines, you might think Britain escaped the Trump tariff system. It didn’t. Parliament’s own trade briefing is blunt: the U.S. has imposed tariffs on most UK goods, and the b(gov.uk) tax. (commonslibrary.parliament.uk) ### Is there evidence this is biting already? Yes. UK trade data now shows a sharp drop right after the tariffs landed. The Office for National Statistics says UK goods exports to the U.S., excluding precious metals, fell by almost 25% in April 2025 after the tariffs were introduced and stayed lower through February 2026. That is the clearest sign that this was not just a negotiating threat — it changed actual trade flows. (ons.gov.uk) ### Who pays for tariffs like this? Mostly importers first, then consumers and businesses downstream. That is why U.S. households end up feeling it too. Tax Foundation’s running estimate for the 2026 tariff package is an average tax increase (ons.gov.uk)ods have risen. Basically, the policy raises money and raises costs, but it does not obviously deliver the trade reset it promises. (taxfoundation.org) ### So why do governments still do side deals? Because once broad tariffs are in place, everyone starts scrambling for exemptions. That is what the UK did with cars and metals. And it is happening more widely now. With WTO talks stuck, the U.S. and a group of partners are moving toward their own e-commerce duties moratorium rather than waiting fo(taxfoundation.org)e arrangements. (finance.yahoo.com) ### Why is that a bigger deal than the UK story? Because it changes the architecture of trade. A tariff world rewards countries that can win bespoke carveouts and punishes those that cannot. Big players can bargain. Smaller exporters get whatever is left. The UK story matters partly because it shows the new pattern in miniature — even a close U.S. ally got relief only in slices, not a full reset. (commonslibrary.parliament.uk) ### Bottom line? The U.S.-UK deal helped some British industries. But it did not end the tariff era for Britain. Most UK goods still face the new U.S. tariff wall, trade volumes already show damage, and the wider lesson is that global trade is becoming more fragmented, more negotiated, and less rule-based. (commonslibrary.parliament.uk)