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21 July 2025 | Other | Euro

Trump's EU tariffs could boost UK manufacturing — CNBC

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Trump's EU tariffs could boost UK manufacturing — CNBC

CNBC reports that the UK may regain some of its former prominence as a European manufacturing hub if President Donald Trump implements proposed 30% tariffs on EU imports.

Alex Altmann of Lubbock Fine suggests the UK's available production capacity could attract EU-based companies looking to avoid steep US tariffs. However, the extent of this benefit depends on how the tariffs are implemented. Teneo's Carsten Nickel cautions that any business relocation from Europe would occur gradually rather than immediately.

Economists note Brexit has already taken a significant economic toll. The UK's GDP remains approximately 5% smaller than if the country had stayed in the EU, with long-term trade volumes down 15%.

Elena Berseneva MarketCheese

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