Coffee House Shots31 Mars 2025

What to expect on 'World Tariff Day'

This week will see ‘World Tariff Day’ – as those in Westminster are not-so-excitedly calling Wednesday – when Donald Trump will announce a wave of new tariffs. Trump is expected to reveal plans for reciprocal tariffs aimed at addressing what he sees as an ongoing trade imbalance between the US and other countries. He argues that it is ‘finally time for the Good Ol’ USA to get some of that MONEY, and RESPECT, BACK. GOD BLESS AMERICA!!!’.

It had looked as though the Prime Minister’s softly-softly approach to US relations was working and that we might avoid Trump’s levies... that was until the UK was included in the 25 per cent tariff on cars and auto parts imported into the US, along with steel.

There is some hope, however. Donald Trump and Keir Starmer had a call last night in which they spoke about a limited free trade deal. The pair ‘discussed the productive negotiations between their respective teams on a UK–US economic prosperity deal, agreeing that these will continue at pace this week’. It is a knotty situation for the Prime Minister because if he cannot charm his way back into the US’s good books, he will face more calls to get tough on Donald and threaten retaliatory tariffs. What’s the mood in Westminster? And – more importantly – what’s the mood in Washington?

James Heale speaks to Katy Balls and Kate Andrews.

Produced by Oscar Edmondson.

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