The UK’s Fancy Cars Face a Tariff Frown‑Face
Mike Hawes, the head honcho of the Society of Motor Manufacturers and Traders (SMMT), has called the new U.S. tariffs “deeply disappointing” and a real threat to the automotive sector.
Inside the U.S. Tariff Deal
- Trump‑era administration slapped a 25% tariff on British cars.
- All UK goods now hit with a 10‑percent levy when shipped to America.
- These numbers are high‑school math for the cars but quite punishing for the rest of the supply chain.
What Hawes Says
He warned that these fees are not just a “little hiccup” – they’re potentially damaging for the UK auto industry.
“Here’s the thing: a 10% tariff on everything I ship across the pond may feel smaller than some other tariffs, but it’s still a real disappointment. And the 25% car tax? It’s a nasty surprise that can’t be drowned out by business margins.
Impact on Car Makers
- Manufacturers might need to review output to keep things afloat.
- Consumers in the U.S. could end up paying more, or find fewer British beauties to buy.
- UK producers could see sales dip and have to cut back or re‑engineer production.
The Call for a Deal
Hawes hopes for a resolution but says the sector is already facing a buffet of headwinds. “We can’t let these tariff costs bleed through to workers, jobs, and consumer choice,” he said.
Keep the Dialogue Open
He urges a brisk, “fast‑track” dialogue between the UK and the U.S., and reminds everyone that jobs, consumer demand, and growth are at stake on both sides of the Atlantic.
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