A former FX trader and founder of a leading personal finance platform believes Donald Trump’s economic posturing could ultimately boost the UK’s manufacturing sector.
The last week has seen America’s new president take on neighbours Mexico and Canada, and China, in a new tariff war.
And Trump even suggested the UK could bear the brunt of a global offensive designed to balance US books and get the country’s economy back on track.
But Alex King, the face of personal finance platform Generation Money, believes a series of inflammatory policies could actually benefit British manufacturers.
“When the US first imposed tariffs on China, Chinese manufacturers routed many of their goods through Vietnam and Thailand to the US to avoid tariffs,” King said.
“If the UK does avoid tariffs, it is in a potentially advantageous position to benefit from similar routing from the EU.”
Neri Karra Sillaman, of the University of Oxford’s Said Business School, said that avoiding tariffs altogether is the ideal scenario.
“If the UK remains tariff-free, it could be uniquely positioned to attract investment, talent, and new trade partnerships,” she said.
“With tariffs pushing businesses to find more cost-effective hubs, the UK could become a preferred gateway for companies looking to bypass restrictions. Sectors like advanced manufacturing — where the UK already excels — could see an influx of investment and trade opportunities.”
Staff at BEC are continuing to monitor moves Stateside in relation to clients seeking to streamline their budgets by revisiting existing energy contracts. But CEO Callum Thompson admitted: “It’s a fast changing situation and there’s still a high level of uncertainty when it comes to whether or not our manufacturers will face US tariffs.
“That’s why we’d encourage firms to add energy contracts to the top of their ‘to-do’ list. If there is an opportunity to recoup funds right now it’s a chance businesses should take.”