A survey by the British Chambers of Commerce (BCC) has revealed that UK manufacturers are worried about the potential impact of new US tariffs. Around 28% of manufacturing exporters believe the tariffs could significantly affect their operations, with 34% expecting a slight impact. The survey, which included more than 1,200 firms, found that overall, 10% of businesses think the tariffs will significantly affect them. While some manufacturers plan to mitigate risks by shifting their supply chains or diversifying their markets, many small and medium enterprises (SMEs) are struggling with the uncertainty caused by the tariff threat.

BCC head of trade policy, William Bain, emphasized the need for a flexible and pragmatic approach from the government to support businesses navigating these challenges. He warned that the tariffs could lead to trade diversion, where goods previously destined for the US may be redirected to other markets, potentially creating further disruptions.

The survey also reflects broader concerns about declining global demand, exacerbated by the ongoing trade tensions between the US and the UK. Many exporters fear the tariffs could worsen their prospects, particularly in industries like textiles and machinery, where the US is a key market. The BCC is calling for more support from the UK government to help mitigate the economic fallout and ensure exporters can continue to compete internationally.