Alan Enslen Discusses Trump Administration’s Tariff Policies with BBC

Alan Enslen joined the BBC’s “Matt Bailey at Breakfast” on February 11 to discuss U.S. President Donald Trump’s proposed tariffs.

In particular, the radio discussion focused on how such trade policies may impact the North East UK. President Trump recently announced plans to levy a 25 percent tariff on all imported steel. The U.S. serves as the UK’s second-largest steel export market (with the European Union as the largest partner).

Enslen said, “It’s important to put the tariff actions into context beyond the immediate news cycle. President Trump’s rationale tends to be that the U.S. is being treated unfairly by the global trading system it helped create. A lot of these points can be debated, but that is the start point, which is why you hear President Trump talk about reciprocal tariffs.”

He also said tariffs fall into different categories. “They’re not all created equal—they are for different purposes.” He said a lot of the Trump Administration’s actions surrounding steel tariffs are meant to counter China’s overcapacity in steel production.

Enslen said the “Tool of economic statecraft” is at play here, with the Trump Administration seeking to use tariffs as negotiating ploy. For example, the threat of tariffs came into play during a recent deportation standoff between the U.S. and Colombia, as well as border security discussions with Canada and Mexico.

“He’s going sector by sector. He’s starting with steel and aluminum and already talked about the next sectors you are likely to see: automotives, pharmaceuticals, and semiconductors.”

Host Matt Bailey asked if companies in the North East UK have expressed concern about the impact of tariffs. Enslen said “Change breeds unpredictability and supply chains like predictability.” He advises clients to examine their global supply chains closely, both upstream and downstream as well as raw materials, and assess what they need to do if a certain action takes place. He recommends companies look at their supply contracts to see if they can find or negotiate protections.

Enslen said U.S. tariffs could lead to other nations increasing their tariffs, which could drive up consumer prices in the short term.

Click here to listen to Alan Enslen on the BBC’s “Matt Bailey at Breakfast.” (Go to 1:07:00)