UK-US Trade and Tariffs

Debate between Jonathan Reynolds and Andrew Cooper

Thursday 3rd April 2025 Commons Chamber

[Jonathan Reynolds]

I am grateful to the right hon. Gentleman for how he has put that. I think he is right on where the burdens of policy fall in that area. It is not in anyone’s interest. No one wins a trade war; that is impossible. However, it requires us to react in a way that is calm, reassuring and pragmatic and which seeks a way forward. I can tell him that that is exactly what this Government will seek to do.

[Andrew Cooper (Mid Cheshire) (Lab)]

I thank the Secretary of State and his colleagues for all he has done so far in negotiating an economic partnership deal with the US. The automotive sector is an incredibly important one for Cheshire and Merseyside, both for manufacturers such as Bentley, Vauxhall and Jaguar Land Rover, and the wider supply chain, which supports the employment of tens of thousands. The US is the biggest export market for Bentley Motors in Crewe, so it is likely to be at the sharp end of the tariffs. We all hope that my right hon. Friend’s calm-headed approach has meant that we are in the best position to secure a deal. What specific support does he have in mind for the automotive sector to help it weather the storm?

[Jonathan Reynolds]

My hon. Friend is right to highlight that. I am tremendously proud of our automotive sector. Indeed, he may know that I come from and grew up in one of our automotive sector powerhouses, Sunderland, with the Nissan plant. It is incredibly important to lots of communities in the supply chain all around the UK, but particularly to our exports. The US is a key market, particularly for the high-value models, some of which he mentioned, which are incredibly valuable to this country. We want and seek to maintain that success.

On the kind of support, first, it is about dealing with this issue. Secondly, there are things such as the announcement in the Budget of the £2 billion for collaboration with the private sector in the automotive field, the money incentives for electric vehicle infrastructure and the changes around the wider ZEV mandate that we are consulting on and about to publish a response to, for which we need a more pragmatic response than we have seen in the past.