Kemi Badenoch has cautioned Britain against retaliating if Donald Trump imposes new tariffs on UK goods as part of his “liberation day” trade measures.
The Conservative leader stressed that import levies “just make everyone poorer” and urged Labour ministers to push for a “comprehensive” trade deal.
Despite efforts by Prime Minister Sir Keir Starmer and Business Secretary Jonathan Reynolds to secure an exemption, UK goods are expected to be hit alongside other global imports.
Badenoch emphasised the need for a deal covering key industries like manufacturing, particularly steel and automotive, warning that tariffs would “severely cripple” these sectors.
“Some people will want us to have trade retaliation, that just makes everyone poorer,” she told LBC. “This is a time for significant diplomacy… the people who will suffer aren’t just our exporters but also the American consumer.”
She dismissed suggestions that the UK should distance itself from the US due to Trump’s policies, stating,
“My view is that we need to stick closely to the US, they are an ally.
“We do not want a world where Nato is fragmented, that is very bad for our national security.
“We need to do what is in our national interest; where we disagree we should say so and I don’t mind people saying where they disagree.
“But I do have a problem with people just criticising for the sake of it when they actually haven’t got a concrete example of what it is that they are talking about in terms of policy. They are expressing their personal views about an individual.
“I haven’t banned anyone from doing so but I don’t think it is right because … having people from another country endlessly criticise your government in the open is not helpful.”
Trump has already announced a 25% import tax on foreign cars, dealing a major blow to the UK auto industry, which exported over 101,000 units worth £7.6 billion to the US last year.
Additionally, new tariffs—potentially including a 20% tax—are set to take effect on April 2, targeting UK products in response to VAT rules Trump views as unfair.
These levies could disrupt the UK’s economic plans, coming shortly after Chancellor Rachel Reeves’ budget cuts aimed at stabilizing public finances.