Trump ‘liberation day’ tariffs fallout: UK exports to U.S. pluge 25%

U.K. goods exported to the U.S. plunged around 25% following President Donald Trump’s “liberation day” tariff blitz and have remained muted since, official data shows. 

Goods exports to the United States, excluding precious metals, fell by £1.5 billion, or 24.7%, following the introduction of tariffs, the Office for National Statistics (ONS) said Friday.

The statistics body added that car exports from the U.K. to the States have also fallen since then and now languish below pre-tariff levels in the 12 months since April 2025.

While U.K. exports of goods have stayed low, imports of goods increased at the start of 2026, leading to a trade deficit with the country’s largest trading partner for three months in a row. 

Last year, the U.K. became the first country to secure a trade deal with the Trump administration after the president’s so-called liberation day tariffs were unveiled, which upended global markets in turn. The terms of the deal included a 10% blanket tariff on goods imported to the United States.

That put an end to the zero-tariff trade environment for exporters on both sides of the Atlantic and slapped new duties onto Scotch whisky and other spirits sent to America from Britain.

This week, Trump announced he would drop all tariffs on Scotch whisky “in honor” of King Charles III and Queen Camilla, following their state visit. 

Though the Scotch whisky industry employs around 40,000 people in Scotland and accounts for 23% of all Scottish goods exports in 2025, that alone will not be enough to repair the overall British deficit.

“The US remains the UK’s largest export market – so this scale of downturn is likely to have consequences on overall UK growth,” said Samuel Edwards, head of client portfolio management at Ebury.

“Exporters are facing a triple squeeze of higher trading costs from tariffs, raised employment costs and taxes, and input price pressures — all of which are eroding margins and making it harder to compete internationally.”