Speaking at a London conference, Reeves stressed that free trade benefits both sides of an agreement and that increasing tariffs does more harm than good.
Even if the UK avoids direct penalties, a slowdown in global trade could still hit Britain’s economy.
The US has already imposed a 25% tariff on Canadian and Chinese goods, prompting strong reactions. Ontario’s Premier Doug Ford has threatened to cut energy supplies to the US and remove American products from stores, while China has responded with its own tariffs on US imports.
Reeves also touched on defence ties with the US, stating that despite Trump’s decision to cut military aid to Ukraine, the UK and US remain close allies in security matters. She reiterated the government’s commitment to increasing defence spending, ensuring that more investment benefits UK businesses while keeping trade partnerships open.
She also addressed economic concerns at home, calling it a “stain on the country” that a million young people are not in education or training. In an appeal that could resonate with right-leaning voters, she emphasized the need for job creation and skills development.
Meanwhile, discussions continue over the possibility of seizing frozen Russian assets to support Ukraine. With $300 billion in Russian funds locked in Europe, MPs are pushing for action, while the US reviews its aid strategy.
As tensions over tariffs and global conflicts rise, the UK faces mounting economic and diplomatic challenges in the months ahead.