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UK cautions against US tariffs amid Greenland-linked tensions

19 Jan '26
2 min read
 UK cautions against US tariffs amid Greenland-linked tensions
Pic: Shutterstock

Insights

  • The UK government and industry bodies have cautioned that proposed US tariffs on UK goods could undermine NATO unity and disrupt integrated supply chains.
  • Prime Minister Keir Starmer said Greenland's future is for Greenlanders and Danes, calling tariffs on allies wrong.
  • Make UK and British Chambers of Commerce cautioned that new tariffs would raise costs, weaken confidence and hit exporters.

The UK government and industry bodies have cautioned against proposed US tariffs on UK goods, saying they risk undermining NATO unity and damaging deeply integrated transatlantic supply chains.

UK Prime Minister Keir Starmer said Greenland’s future is a matter for the Greenlanders and the Danes (Denmark), stressing that Arctic security is a collective NATO responsibility.

“Applying tariffs on allies for pursuing the collective security of NATO allies is completely wrong. We will of course be pursuing this directly with the US administration,” Starmer said.

UK manufacturers have expressed growing concern that geopolitical tensions linked to Denmark and Greenland could spill over into trade policy. Make UK said the rhetoric is already affecting business decisions, with some manufacturers planning to reduce exports to the US this year in response to existing tariffs.

“The UK and US manufacturing sectors are deeply integrated, and any move towards new tariffs would be felt quickly through higher costs, disrupted supply chains and reduced business confidence. At a time of global uncertainty, strengthening alliances - not fragmenting them - should be the priority,” suggested Richard Rumbelow, director of International Business at Make UK.

Make UK said it will continue to monitor the situation closely and keep members informed of any implications for UK manufacturing.

The concerns intensified after reports that the US may introduce fresh 10 per cent tariffs on UK goods from next month. Responding to the developments, British Chambers of Commerce (BCC) said further tariffs would be more bad news for exporters already struggling with duties imposed last year.

“We know trade is one way to boost the economy and the success of transatlantic trade depends on reducing, not raising, tariffs. The government must prioritise the implementation of the Economic Prosperity Deal and negotiate calmly to remove the threat of these new tariffs,” William Bain, head of trade policy at the BCC, said in a release.

ALCHEMPro News Desk (HU)

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