EU Tariffs: United States and Northern Ireland Economy Debate

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Department: Northern Ireland Office

EU Tariffs: United States and Northern Ireland Economy

Al Pinkerton Excerpts
Tuesday 8th April 2025

(6 days, 16 hours ago)

Commons Chamber
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Lindsay Hoyle Portrait Mr Speaker
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I call the Liberal Democrat spokesperson.

Al Pinkerton Portrait Dr Al Pinkerton (Surrey Heath) (LD)
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As the Financial Times reported at the weekend—and as I think the Secretary of State has just confirmed—in the event of EU retaliatory tariffs, goods imported from the United States into Northern Ireland will by default be effectively forced down the red lane. That, of course, means additional customs checks, time and red tape and, in the event of their imposition, EU tariff rates for goods coming into Northern Ireland, irrespective of their ultimate destination. That risks a scenario where Northern Ireland importers are penalised more than almost any other businesses in either the UK or the EU, first at the border and then in administering the reclamation of those costs.

Let us be clear: this chaotic situation is entirely the consequence of Donald Trump’s destructive trade war. What are the Government doing to ensure that President Trump and the US Administration are alert to the deeply destabilising effects of their tariffs policy on the Good Friday agreement and the prospect of peace in Northern Ireland? What active steps are the Government taking to mitigate the potential disruption to Northern Ireland businesses that are now unwittingly caught up in Donald Trump’s trade war?

Hilary Benn Portrait Hilary Benn
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The single most important thing we can do for those businesses in Northern Ireland is, as I indicated a moment ago, to ensure that the duty reimbursement scheme works speedily and effectively—provided that those businesses can demonstrate that their goods are not moving into the European Union, for the obvious reason that otherwise Northern Ireland would become a back door for goods seeking to avoid the retaliatory tariffs. The Government will take all necessary steps to protect British businesses in the very difficult circumstances that we are facing, including by continuing to seek to negotiate an economic deal with the United States of America, which we have been engaged in for weeks now. What comes out of that remains to be seen, but it is part of the Government’s calm and considered approach.