UK exports to US grew by £500m in February ahead of Trump tariffs
Analysts said there were ‘clear signs’ UK firms were looking to sell more goods before the US slapped costly tariffs on British imports.
British exports to the US rose by just under one-tenth, or roughly £500 million, in February, as American companies imported before Donald Trump imposed trade tariffs on other countries.
Exports of goods to the US rose to £5.9 billion during the month, according to the Office for National Statistics (ONS), marking the third consecutive monthly rise.
Practically all goods heading from Britain to the US became subject to at least a 10% blanket trade tariff as of Mr Trump’s latest announcement this week.
The US President also imposed a higher 25% levy on imports of steel and aluminium, and cars and car parts last month.
William Bain, head of trade policy at the British Chambers of Commerce, said: “There are clear signs that UK firms increased goods exports to the US ahead of the introduction of tariffs.”
He added: “Securing a deal with the US, removing trade barriers with the European Union, and maximising potential in Indo-Pacific markets will be key to cushioning the negative impacts of the sweeping new US tariffs.”
The figures come after firms across a swathe of sectors in the UK economy said they would likely take a hit from new tariff measures.
Diageo, the world’s largest spirits manufacturer, already warned of a potential hit in February, and analysts suggested that the company will see a roughly £76 million hit to its profits – about 2% of earnings – from the 10% tariffs last week, before mitigating actions.
Carmakers also face a hit, with vehicles being the top product exported from the UK to the US.
In the year to end of September 2024, car exports were worth £8.3 billion and made up nearly 14% of all goods going across the pond, according to the ONS.
And clothing retailers like JD Sports, Dr Martens, Asos and others, which often have wide-ranging global supply chains in Asia but also have a significant proportion of their sales in the US, could also be hit hard, analysts said earlier in April.
The rise in US exports came as the ONS also said the UK economy grew unexpectedly fast in February, by about 0.5%, up from no growth the previous month.
George Roberts, a dealer at finance firm Ebury, said: “Despite being insulated from shifts in US demand, the US is still the UK’s most important export market—nearly double the size of the next.
“And, despite the Government’s sudden rush to secure trade deals with the likes of India, the tariffs are undoubtedly a blow to key sectors such as automotive and pharmaceuticals – just as UK growth is already walking a tightrope.”
The ONS figures are from February, meaning there is “no direct impact of tariffs” on the data, the statistics agency said.
It added that the three months of consecutive rises in US exports following the election in November last year “could indicate some evidence of changing trader behaviour, (but) it is important to note that monthly data can be erratic, so movements should be treated with caution.”
