Are you a client? Sign in to view the full news archive.

UKHotViews

Friday 09 May 2025

When is a trade deal not a trade deal?

Much noise has been made in the media following the announcement of the US-UK trade deal yesterday.

However, what we're witnessing is not the comprehensive trade deal initially proclaimed, but rather a limited relief measure from Trump's broader protectionist agenda. tariff cover

TechMarketView’s analysis anticipated precisely this scenario – selective tariff reductions targeting specific industries such as automotive, while leaving the fundamental uncertainty of Trump's 'Liberation Day' approach to global trade intact.

For the UK tech market, this mixed outcome suggests continued caution is warranted. The relief for Jaguar Land Rover exports represents a partial win for one of our most vulnerable sectors but falls far short of addressing the broader economic vulnerability we identified. The divergent political reactions highlight the reality: this is not a transformative agreement but a temporary accommodation that leaves UK businesses and technology investors still navigating significant trade uncertainty.

Tech providers should continue preparing clients for a trading environment characterised by unpredictability, with investment strategies focused on supply chain flexibility, geographic diversification, and rapid adaptability. The full economic and technological impact will only become clear when the wider tariff picture settles down. From a UK plc perspective, our trade "deal" is a bit of a side show. Without positive movement on the US-China position little has materially changed.
 

Read more background analysis here: US tariffs on UK: Tech investment implications.

Posted by: Georgina O'Toole at 10:00

Tags: tariffs   trade   macroeconomics  

 
X   Facebook   LinkedIn   Email article link


« Back to previous page

© TechMarketView LLP 2007-2025: Unauthorised reproduction prohibited see full Terms and conditions.