UK trade stabilises after tariff hit

15 Jul 2025

The UK's goods exports rose by 3.1% in volume in May, with a 4.2% increase to the EU, led by higher fuels, machinery, transport equipment and other manufactured goods, according to the latest data from the British Chambers of Commerce (BCC).

The rest of the world saw growth of 1.9%, month on month, mainly driven by higher chemicals exports, including to the US, and other manufactured goods. 

May was the first complete calendar trading month after all the US tariffs changes affecting the UK were put in place. It was also the month the Economic Prosperity Deal 'heads of agreement' was adopted by the UK and US. 

William Bain, Head of Trade Policy at the BCC, said: 'UK trade showed signs of stabilising in May as the initial impact of higher US tariffs began to subside. 

'More predictable tariff and trading conditions are key to providing our businesses with certainty. Further implementation of the UK-US deal would enhance those prospects, together with successful negotiations with the EU, and stronger export performance in the Indo-Pacific region. This should include the opportunities of enhanced trade with the CPTPP states and ratification of the trade deal with India. 

'If this is combined with a full rollout of the policies from the recent UK Trade Strategy, then businesses will be given the confidence needed to invest and grow their global trade links throughout 2025 and beyond.'