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Donald Trump has suggested that the UK might escape punitive US tariffs, although he said Britain was “way out of line” and that he was considering whether to target its exports.
The US president told reporters: “The UK is way out of line, and we’ll see. But the European Union is really out of line.
“UK is out of line but I’m sure that one, I think that one can be worked out. But the European Union, it’s an atrocity what they’ve done.”
Trump went on to say that he had developed a good early working relationship with Sir Keir Starmer, UK prime minister.
“Prime Minister Starmer has been very nice,” he said. “We’ve had a couple of meetings, we’ve had numerous phone calls, we’re getting along very well.”
The US president’s comments came after he imposed tariffs on Canada, China and Mexico, triggering a global sell-off in stocks and sending the US dollar higher.
Starmer has put great emphasis on the rapport he believes he has established with Trump, notably at a dinner at Trump Tower last September before the US elections.
But Downing Street officials admitted they have no idea if Trump will hit the UK with tariffs, with one saying it was “early days”.
Starmer will travel to Brussels on Monday for talks with EU leaders, aware that his attempt to “reset” relations with the bloc after Brexit risks antagonising Trump.
His trip to an informal European Council meeting — the first such meeting involving a UK premier since Brexit — will focus on security and defence co-operation.
Starmer wants improved trade relations with the EU and is also seeking to deepen trade co-operation with the US, particularly in the field of services and technology.
He is also planning to visit China later in the year, insisting Britain can and must pursue warm relations with each of the world’s most powerful economies.
Last year, Starmer told a City of London audience: “The idea that we must choose between our allies — that somehow we’re with either America or Europe — is plain wrong. I reject it utterly.”
According to US figures, America ran an overall trade surplus with the UK in 2023, amounting to $14.5bn. That puts Britain in a favourable position as Trump threatens countries with significant deficits.
However, the Office for National Statistics reports that the UK ran a trade surplus with the US of £71.4bn, or about $89bn, in 2023.
“Using America’s own trade data provides a shared and strong foundation when engaging in discussions with our American friends,” joked one senior British official. Starmer is expected to visit Washington later this month.
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