Donald Trump slapped 10% tariffs on imports of British goods as he declared war on “foreign cheaters” with trade levies on countries around the .

The US President ranted against nations who he claimed had “ripped off” US taxpayers, saying: “Our country has been looted, pillaged, raped, plundered”. In a move that will risks sparking a global trade war, Mr Trump signed an executive order imposing “reciprocal” tariffs on dozens of countries.

These included 20% on the EU, 34% on , 26% on India and 49% on Cambodia. Britain escaped the worst of his wrath, receiving the baseline level tariff of 10%, which comes into force at 5am on Saturday.

A 25% tariff will also be imposed on all foreign cars imported to the US from 5am today – which experts fear could cost 25,000 jobs in the British car industry.

In a speech in the White House Rose Garden, Mr Trump described the bombshell move as a “declaration of economic independence” which he said would “make America wealthy again”. “Taxpayers have been ripped off for more than 50 years,” he said. “But it is not going to happen anymore.”

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He said: “April 2, 2025, will forever be remembered as the day American industry was reborn, the day America’s destiny was reclaimed, and the day that we began to make America wealthy again.”

There was some relief in Whitehall that Britain was spared the most punitive tariffs. A Downing Street source said: "We don't want any tariffs at all, but a lower levy than others vindicates our approach. It matters because the difference between 10% and 20% is thousands of jobs.

"We will keep negotiating, keep cool and keep calm. We want to negotiate a sustainable trade deal, and of course to get tariffs lowered. Tomorrow we will continue with that work."

is expected to gather business leaders from affected sectors in Downing Street on Thursday morning.

Business Secretary Jonathan Reynolds said: “The US is our closest ally, so our approach is to remain calm and committed to doing this deal, which we hope will mitigate the impact of what has been announced today.

“We have a range of tools at our disposal and we will not hesitate to act. We will continue to engage with UK businesses including on their assessment of the impact of any further steps we take.

“Nobody wants a trade war and our intention remains to secure a deal. But nothing is off the table and the government will do everything necessary to defend the UK’s national interest.”

Earlier, Mr told MPs during Prime Minister’s Questions: “A trade war is in nobody’s interests and the country deserves – and we will take – a calm, pragmatic approach. That’s why constructive talks are progressing to agree a wider economic prosperity deal with the US.

“That’s why we’re working with all industries and sectors likely to be impacted. Our decisions will always be guided by our national interest, and that’s why we have prepared for all eventualities, and we will rule nothing out.”

Paul Nowak, TUC General Secretary, said: " has just made the strongest possible argument for [the UK] to positively reset its economic relationship with the [the EU], our largest market.

"In the face of arbitrary [US] tariffs, the government must do everything it can to protect British jobs & industry."

Liberal Democrat Leader Ed Davey said: “Today Donald Trump has launched a destructive trade war that threatens the jobs and living standards of people across the UK and around the world.

“We need to end this trade war as quickly as possible - and that means standing firm with our allies against Trump’s attempts to divide and rule.

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"The Prime Minister should bring our Commonwealth and European partners together in a coalition of the willing against Trump’s tariffs, using retaliatory tariffs where necessary and signing new trade deals with each other where possible.

"If the Government gives in to Trump's threats, it will only encourage him to use the same bullying tactics again and again.”

Rain Newton-Smith, chief executive at business lobby group the CBI, said: “Business has been clear: there are no winners in a trade war. Today’s announcements are deeply troubling for businesses and will have significant ramifications around the world."

The tariffs will remain in place "until such a time as President Trump determines that the threat posed by the trade deficit and underlying nonreciprocal treatment is satisfied, resolved, or mitigated", according to the White House.

UK negotiators are pushing for an agreement, which is understood to be focused on , to mitigate the impact of tariffs. But Chancellor said on Wednesday that the UK would still take a hit even if a deal were made, due to the global economic havoc unleashed by Trump’s announcement.

She told MPs: “Even if we are able to secure an economic deal with the United States, it doesn’t mean somehow that we are out of the woods and not impacted by tariffs.

“So we don’t just want to see an agreement between the UK and the US, we want to see free trade, fair trade continue.” She added: “The prize on offer is a good economic agreement between us and the United States. We are not going to do anything to put that in jeopardy.”

The Office for Responsibility has warned US tariffs could wipe out the Chancellor’s economic headroom and derail the Government’s plans. The watchdog said 20% tariffs could knock up to 1% off the size of the British economy, and force Ms Reeves into further spending cuts or tax rises in the autumn.

Currently, exports to the US are worth £60billion to the UK economy. This includes £8.8bn in medicines and pharmaceutical products, and £6.4bn of cars.

Scotch whisky is the UK’s biggest food and drink export to the US, with a value of around £1bn a year. Britain also exports large quantities of salmon, chocolate and cheese.

Tariffs would drive down the demand for British goods by making them more expensive for Americans to buy. The UK could also become a destination for imports diverted from the US, potentially flooding the market with cheap products from abroad and hitting domestic producers.

Experts warned millions of Brits with workplace could be indirectly impacted by the tariffs, which could trigger chaos in the markets, knock growth and drive up inflation.

Steven Cameron, pensions director at Aegon, said: “The tariffs being imposed by the US are having an unsettling impact on stock markets right now, and could also have implications for the UK economy.

“Most individuals with defined contribution pensions will have investments in stocks and shares, often across many worldwide markets and may see the current value of their pension affected. If you are many years from retirement, short term ups and downs are of less importance than longer term performance – hopefully, there are many years of investment growth ahead.”

But he added: “When markets are depressed, it’s generally not a good time to take a large amount out of your pension, particularly if you have no pressing need. If you can, you might want to wait to see if markets recover.”

Myron Jobson, senior personal finance analyst at Interactive Investor, said: “If tariffs contribute to higher inflation, central banks may be forced to tighten monetary policy, which can weigh on bonds and borrowing costs. This could impact everything from mortgage rates to corporate investment, potentially slowing economic growth.”

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