The UK government unveiled a new trade strategy on Thursday to boost British exports and strengthen shields against the influx of low-cost foreign imports. The initiative comes in response to growing global instability and the resurgence of protectionist policies sparked by the wave of U.S. tariffs introduced by President Donald Trump.
Business Secretary Jonathan Reynolds stated that the initiative will “ensure British businesses are protected from harm.” The strategy outlines plans to expand government-backed financial support for exporters and offer targeted guidance to help small and medium-sized enterprises navigate intricate trade regulations.
One key measure of the policy is to elevate government financial support for UK Export Finance, the nation’s export credit agency, raising its lending capacity by £20 billion—from £60 billion to £80 billion.
A central focus of the UK’s defensive trade strategy is the steel and automotive sectors. With existing safeguards against low-cost steel imports set to lapse in 2026, the government has initiated a call for evidence from steel producers to implement future protections. Meanwhile, the UK has yet to impose steep tariffs on Chinese-manufactured electric vehicles, raising concerns that a surge in such imports could undercut domestic carmakers.
The trade plan follows the launch of the government’s 10-year industrial strategy, which outlines measures to cut energy costs for thousands of businesses by exempting them from certain green energy levies.
Government officials have indicated that a review of the trade remedy tools overseen by the Trade Remedies Authority (TRA) is in development.
Although the UK’s existing framework permits action against dumping and unfair subsidies, industry representatives argue that the enforcement has been ineffective and limited.
The UK Treasury is also conducting a review of the ‘de minimis’ rule, which exempts imports valued under £135 from import taxes. Retailers claim that this exemption is being misused by overseas e-commerce platforms like Shein and Temu to gain an unfair edge over domestic businesses.
Andrew Opie of the British Retail Consortium (BRC) urged the government to take prompt action, warning that the rule, originally designed for individual consumers, is now being exploited for commercial gain.
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