Welcome to the April BABN Policy and Trade Update.

Over the course of March, significant developments have emerged from the US administration, impacting the transatlantic business landscape. On 18 March, UK Secretary of State for Business and Trade, Jonathan Reynolds MP, made a trip to Washington DC to meet with the US Administration. During his visit, he met with a selection of BAB members, with the discussion focusing on strengthening the US-UK relationship and opportunities for investment and growth.

Tariff developments have also been a focal point over the past few weeks, with the US administration implementing a 25% tariff on global steel and aluminium imports. This move aims to protect domestic industries, but has raised concerns among international trade partners, including the UK. Reynolds’ visit underscored the need for exemptions and a balanced approach to these tariffs to support key UK industries. Further tariff announcements are imminent.

Additionally, the potential for some sort of US-UK trade agreement has gained momentum following Prime Minister Keir Starmer’s recent visit to the US. In a meeting with President Donald Trump, both leaders expressed optimism about reaching a “real trade deal”. We are yet to see what this deal would look like, but the two counterparts are looking to move quickly and swiftly to achieve this agreement as soon as possible.

See below for a breakdown of policy and trade headlines and our published works.

Tariff Update

March/April 2025

Latest tariff developments: here is a breakdown of the latest developments on tariffs, including tariffs that have already come into force, those that have been paused, and those that are due to come into effect soon.

• Tariffs already in force:
  • 25% tariff on global steel and aluminium imports: effective from March 12, 2025.
  • 20% supplementary tariff on Chinese imports: increased from an initial 10%.
• Tariffs paused:
  • 25% tariff on goods from Canada and Mexico: initially set to take effect on March 4, 2025, but paused until April 2, 2025.
  • 10% tariff on Canadian energy exports: paused pending further negotiations.
• Tariffs announced and due to come into force:
  • 25% tariff on all goods from Canada and Mexico: scheduled to take effect on April 2, 2025.
  • 25% tariff on imports from countries purchasing oil or gas from Venezuela: set to start on April 2, 2025.
  • Reciprocal tariffs (matching import duties): the US will impose tariffs equivalent to those levied by other countries on US goods. Scheduled to come into force on 2 April.
  • 25% tariff on imported passenger vehicles, light trucks, and key auto parts: effective from April 3, 2025
• Tariffs Retreated:
  • Sector-specific tariffs on pharmaceuticals, and semiconductors: initially planned but now foregone.

2 April: this is the date to watch for, as it’s the day the announced reciprocal tariffs are supposed to come into force, and these tariffs are due to be imposed on all US’s trading partners

Continue reading BAB Policy and Trade Update, April 2025 HERE