U.S. tariffs and compliance: what U.K. and EU companies need to consider

Tariff risk has probably rarely featured on many companies’ risk registers in recent years, but it now likely sits high on the agenda because of President Donald Trump’s tariff focus. 

While there remains uncertainty about whether the U.S. government will go ahead with all of its planned tariffs (up to 50% for some EU goods) or whether some countries and industries may be able to cut a deal, U.K. and EU-based companies should at least look at contingency planning and ask legal and compliance teams to examine ways to offset costs, disruption, and potential legal liability should tariffs come into effect in some form soon.

The U.K. currently exports goods worth around £60 billion annually to the U.S.—equivalent to 2.2% of GDP in 2023. But on April 2, the U.S. announced it would impose an additional 10% tariff on top of existing U.S. duties, fees, and taxes on all imports from the U.K.—a prospect that could potentially see billions of pounds worth of U.K. exports wiped out.