Trump Aide Urges UK to Embrace US Free Market Over 'Socialist' EU

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Britain should align its trade priorities with the United States rather than the European Union's "socialist model," according to Stephen Moore, a senior economic adviser to Donald Trump. Moore's comments come as the former president-elect considers policies that could include sweeping tariffs, potentially sparking global trade tensions and significantly impacting the UK economy.  

 

 

Moore, speaking from Trump’s Mar-a-Lago residence in Palm Beach, Florida, suggested the US would be "less interested" in pursuing a free trade agreement with Britain if it moves toward closer alignment with the EU. "I’ve always said that Britain has to decide — do you want to go towards the European socialist model or do you want to go towards the US free market? Lately, it seems like they are shifting more in a European model, and so if that’s the case, I think we’d be less interested in having [a free trade deal]," he stated.  

 

 

The UK’s trade relationship with the EU remains a critical issue. Labour leader Sir Keir Starmer has prioritized negotiating closer ties with Brussels, aiming to bolster economic growth. Similarly, Andrew Bailey, governor of the Bank of England, recently emphasized the need to rebuild trade relations with the EU, arguing that Brexit had weighed on the UK economy. Labour has proposed easing post-Brexit checks on goods crossing the Channel and securing EU recognition of UK professional qualifications.  

 

Moore noted that Trump’s proposed tariffs — as high as 20% on imports generally and up to 60% on goods from China — reflect his mandate to revitalize American manufacturing and create jobs. While tariffs could trigger a global trade war, Moore argued they might also "shift production more to domestic" industries, stating, "I’m a free trader, but the public agrees with Trump, and so I think we will see tariffs." Trump himself recently declared that “tariffs” were “the most beautiful word in the dictionary.”  

 

The potential implications for Britain are substantial. The National Institute of Economic and Social Research has estimated that Trump’s tariff policies could halve the UK’s GDP growth, creating a £21.5 billion shortfall in the country’s tax and spending plans while driving inflation up by 3 to 4 percentage points. While the EU has prepared retaliatory tariffs targeting iconic American goods like Levi’s jeans and Harley Davidson motorcycles, the UK is unlikely to follow suit, fearing escalation. Instead, ministers are reportedly seeking a carve-out from US tariffs.  

 

A free trade deal between the US and UK remains a contentious issue. Boris Johnson’s government previously pursued such an agreement during Trump’s administration, but talks stalled over disputes regarding American agricultural standards. Current Labour leadership, including Chancellor Rachel Reeves, has ruled out allowing imports of chlorine-washed chicken or hormone-treated beef, emphasizing, "We are not going to allow British farmers to be undercut by different rules and regulations in other countries."  

 

Moore, who has warmed to Trump’s protectionist rhetoric, explained the strategy: "What he’s talking about is using — he put it very well — raising taxes on things made in China, Mexico, and Europe but lowering taxes on things made here." He acknowledged concerns about trade wars but echoed Trump’s sentiment that such conflicts already exist in practice.  

 

Lord Mandelson, a contender for the role of British ambassador to Washington, has advocated for a pragmatic approach. He suggested the UK pursue a limited agreement focusing on digital services and technology. Meanwhile, Lord Darroch, a former British ambassador to the US, predicted that Trump would act decisively on tariffs, leveraging them to demand concessions from trading partners.  

 

As the UK navigates its post-Brexit trade strategy, the choice between closer ties with the EU or the US looms large, with significant economic and political consequences tied to either path.

 

Based on a report by the Times and Sunday Times 2024-11-18

 

 

 

[bradiston]

Free trade my ass! Upcoming tariffs are not indicators of free trade. What complete cobblers. And depicting the EU as socialist! Such deep seated ignorance. This rhetoric has been going on ever since Trump's first administration. Lefties, socialists, liberals. The right wing creep. Profound American ignorance. Let's see how Trump deals with Putin, Iran, Xi and Kim.

[soalbundy]

The Brexit mistake is becoming ever more apparent and the lie of 'the special relationship' is being laid wide open. The UK is historically and geographically European, we shouldn't be a poodle to 'the ugly American'. Seems Trump wants tariffs with just about everyone which shows how weak it's employment figures are and how precarious its economy is, history shows that tariffs don't work, you can't beat the market. Tariffs stop innovation in ones own industry and you fall behind your competitors who modernize to become more efficient, a point in question here is the inefficient American steel industry compared to Europe, China and Japan.

[RichardColeman]

36 minutes ago, soalbundy said:

The Brexit mistake is becoming ever more apparent and the lie of 'the special relationship' is being laid wide open.

Yeah, like Germany and France are pillars of virtue now, both in political chaos, both finding it hard to form governments and mass immigration killing both of  them, hunting down jews in France hardly seems normal to me.

 

EU is finished, its in its death throws. Only people wanting it are the people getting rich off it.

 

Problem UK has is Liebour - destroying the country as per usual

[OneMoreFarang]

It's pretty obvious what they UK should do.

But then, that was also pretty obvious in 2016 before they voted the other way.

[Hummin]

What Donald seems to forget, Asia is a much bigger marked than Usa, 

 

We got goods Asia wants, they got goods we want! 

 

Donald only shoot himself in the leg the way he think he can dictate the world