Trump’s steel tariffs will hit Midlands hard, mayor tells US ambassador City hosts major transatlantic trade conference
PRESIDENT Donald Trump’s new tariffs on steel and metal imports will hit the West Midlands manufacturing industry hard, threatening jobs and income.
That was the warning handed to US Ambassador Robert ‘Woody’ Johnson during his visit to Birmingham for a major three-day British American Business Council (BABC) conference.
West Midlands Mayor Andy Street called on the US to roll back tariffs on metal imports and strike a post-Brexit trade deal to support the region’s manufacturing businesses.
Mr Johnson, who was appointed Ambassador to the UK by Mr Trump last summer and is owner of the New York Jets American Football team, was keynote speaker at the conference on transatlantic trade.
During a private meeting, Mr Street set out the impact the tariffs would have on the metal industry in the West Midlands – which makes up 3.4 per cent of the region’s economy, about £2.9 billion, and supports 2.7 per cent of jobs – employing about 55,000 people. These are more than double the national rates.
Mr Street said: “America is one of our oldest and most trusted allies and trading partners. The penalties announced by the President have a potentially huge impact on the metals industry here in the West Midlands.
“History tells us that putting up barriers to free trade like this inevitably lead to retaliation and trade wars which always hit the poorer countries hardest – stronger economies like the US and UK should be setting an example.
“The United States became the wealthiest country in the world largely on the back of the principles of free trade and I am hugely disappointed to see them turn their back on this.
“I asked the ambassador to take the message back to the President that the West Midlands is open for business and looking to forge bold alliances post-Brexit.”
President Trump has unveiled a series of tariffs on imports of steel and aluminium from Europe, Mexico and Canada.
The import duties will give a boost to American makers of steel and aluminium by making foreign metals more expensive.
But companies in the US that use steel, including carmakers, are facing higher costs which could be passed on to consumers. The move prompted fears of trade war with threats of retaliatory tariffs on American exports including Harley Davidson bikes and Levi Jeans and has left international global business and investors facing great uncertainty.
President of the BABC, Steve Allen, had earlier called on businesses to work together to head off challenges of trade tariffs.
Ambassador Johnson, said Brexit was a challenge but America will continue investing in and trading with the UK
President Trump wants the US to trade with the UK after Brexit – and will “get something done”, the American Ambassador to the UK said.
Mr Johnson, a Trump supporter and Republican Party donor, said: “The man at the top is a business guy. We want to trade with you in the US and we will do everything we can to help. I do not downplay that Brexit will be a challenge – there is a lot to figure out. You can say it’s too complicated but as an American I say you simplify it.
“There is a lot of capability and willingness and no matter what the challenges, we will get something done.”
He continued: “We want to keep investing here and it is not a matter of whether we have Brexit or not. The future of the relationship between the UK and the US is very, very bright and the President is very fond of your country. And my job is to leave this relationship stronger than when I took over.”
Supporters of Brexit argue that leaving the EU would allow the UK to sign new trade deals with the rest of the world.
We want to trade with you in the US US Ambassador Robert ‘Woody’ Johnson