精东影视

UK construction experts have given a mixed reaction to Donald Trump鈥檚 鈥渓iberation day鈥� tariffs, with some warning investors might pause funding for big schemes and others suggesting it could lead to lower material prices.

The US president announced a raft of worldwide tariffs on Wednesday, including a baseline 10% tax on all imports into the country which will come into effect tomorrow (Saturday) in what economists have described as a watershed moment in global trade.

The UK is the least affected developed country with only the baseline tariff imposed on it, although other countries are facing much more severe reciprocal rates including China, at 54%, Japan at 24% and the EU at 20%.

While the UK鈥檚 lower rate means it could become an attractive location for overseas businesses to import into the US, industry experts warn short and medium-term uncertainty could stall many investment decisions including on major projects.

Arcadis head of strategic research and insight Simion Rawlinson described the tariffs as 鈥渃learly not positive鈥� for overall UK growth.

鈥淭here will be direct impacts on inward investment and domestic investment decisions, particularly associated with manufacturing, as any investment that has a component of production serving the US will be under review,鈥� Rawlinson said.

鈥淢y anticipation is that investment decisions will be put on hold and that big binary decisions on where to locate investment won鈥檛 take place until there is greater clarity on the longevity of the measures put in place.鈥�

Noble Francis, economics director at the Construction Products Association, said short term uncertainty associated with reciprocal tariffs could impact global economic growth prospects and investor confidence.

鈥淭he rise in uncertainty means increased risk, which must be factored into the pricing of firms worldwide, leading to further inflation, and this is already bad news,鈥� he said.

Francis also warned construction products imported from overseas could be subject to higher price volatility as exporters reassess established trade routes.

While around three quarters, 76%, of UK construction products are sourced locally, the cost of materials which are commonly imported including electrical wires and sawn timber 鈥渕ay be an issue for firms on fixed-price contracts signed up to 12-24 months ago when these potential risks wouldn鈥檛 have been on most firm鈥檚 lists of key risks鈥�, Francis said.

However, Francis also suggested prices for some products could decrease if countries which previously exported to the US move to export more to the EU and the UK to avoid high tariffs.

Rawlinson added: 鈥淭here will be a lot of products from tariff hit countries including China and Canada looking for new markets, so expect some product and price dumping. The EU is already taking steps to erect barriers against low-cost aluminium. This might be more difficult for the UK.鈥�

Meanwhile, HTA Design chair Ben Derbyshire warned the immediate effect of the tariffs could be further supply chain scarcity and cost inflation, adding: 鈥淏oth are immensely counter-productive to the government鈥檚 efforts to ramp up housing delivery.

鈥淢HCLG are doing their best to build a sensible response to the crisis of supply and affordability in housing and a trade war must not be allowed to trash their efforts,鈥� he said.

鈥淛ust as Starmer is working on considered responses to Washington鈥檚 new imperialism, I hope the rest of the world can find a way of reducing the disruption to the global supply chain on which the success of the industry depends.鈥�

And while Kelly Boorman, national head of construction at tax consultant RSM UK, said the tariffs may not hit construction as acutely as other sectors, the 鈥渞ipple effect will be felt across all businesses鈥�.

She said: 鈥淚t creates more uncertainty and could hit growth, so businesses need to plan ahead by considering diversification of material suppliers, reviewing procurement processes, investing in technology and focusing on working capital management to mitigate any potential risks.鈥�