After a years-long dispute over tariffs that began in the Trump era, June marks the first time that tariff-free trade with the UK’s largest single-country trading partner can resume across a range of industries and products in almost four years.
It comes about after the resolution of the S232 tariff dispute by the Secretary of State earlier this year. With the trade dispute now resolved, from 1 June, a range of UK and US products can now flow between the two countries, tariff-free, up to agreed limits.
So what’s in the detail of this trade dispute resolution, and how does it affect food and drink products?
Trade Dispute Finally Resolved After Four Years – Allowing Competitive Exports to Return
The trade dispute, and their reciprocal tariffs, revolved around several industries. Steel and aluminium were two of the primary exports affected, but Scottish Whiskey was another to be hit by the tariffs.
Despite the tariffs, whisky exports rose nearly 20% last year to £4.6 billion – of which over £820 million worth went to the US, making it the UK’s biggest food and drink export both Stateside and internationally. The removal of these tariffs should further boost those figures.
It’s not just steel and whiskey exports that will benefit from the removal of restrictive tariffs, however. Welsh lamb, Scottish beef, and a number of other food and drink products will also see a reduction in tariffs, making them more competitive on the international market.
This is good news for the UK food and drink industry, which is still in the process of recovering from the effects of Brexit and the pandemic.
Why Consider Exporting Food and Drink Products to the United States?
With the reduction in tariffs, the United States is once again an attractive option for UK food and drink exporters. The US is the world’s largest economy, with a population of over 327 million people and a strong demand for British-made products such as cheese, meat, gin, and beer.
In addition to the size of the market, the US also offers a number of other benefits for UK food and drink exporters. These include:
- A relatively low level of red tape and bureaucracy
- Low transport costs
- Similar food safety and quality regulations
- English is the primary language spoken
If you’re considering exporting food and drink products to the United States, now is an ideal time to start. The UK’s food and drink industry is world-renowned for its quality, and with the removal of tariffs, there’s a real opportunity to gain a competitive edge in the US market.
Speak to Leverbrook Export Today Regarding Exporting to the United States
Whether you’re a stateside entity looking to source the best food and drink products the UK has to offer or your company is looking at opportunities to export to the US, the Leverbrook Export team can help.
We have a wealth of experience in exporting food and drink products around the world and can offer advice and logistical support across all aspects of the export process. From freight forwarding to ensuring all the required documentation is present and correct, we can take care of everything for you, leaving you free to focus on your core business activities.
To find out more about how we can help you with exporting food and drink products to the United States, contact us today.