UK firms pin hopes on US trade growth despite tariffs
UK exporters to the US believe their sales will grow more than firms selling goods and services to other markets, a new survey has found, boosting hopes that trade will rebound after the initial shock of tariffs.
Research by YouGov has suggested that 45 per cent of companies selling products to the US are hopeful sales across the pond will grow in the next three months, compared to 20 per cent for exporters to Germany and 17 per cent for exporters to Canada and Australia.
The survey found that 27 per cent of exporters planned to increase sales to existing markets altogether.
One in four firms exporting goods and services to the US said they had increased sales over the last in the country. IT and telecoms grew substantially, polling suggested.
The majority of UK firms said trading levels had grown over the last three months while one in three firms broke into a new market, proving businesses’ resilience against tariff threats and trade disruption.
The number of firms claiming sales to China grew slightly compared to the first quarter of the year while EU countries were more popular for exports between April and June.
London is behind trade success
London Stansted owner Manchester Airports Group commissioned the survey along with The Growing Together Alliance, with the findings suggesting the government had to help “more companies go global”.
MAG chief executive Ken O’Toole said “cautious optimism” around 0.3 per cent growth in the second quarter and a wider government commitment to boost productivity levels would be shown in trends highlighted in its trade survey given exporters were “more innovative, competitive and productive”.
“What this data tells us is that British exporters are navigating global trade turbulence well,” he said.
YouGov’s survey found that London firms performed substantially better than companies from other regions, with 63 per cent of exporters increasing sales to existing markets.
Around one in ten firms in the capital had also started trading in China, with Italy and Canada the preferred destinations for expansion in the next three months.
John Dickie, chief executive of BusinessLDN called on the government to increase aviation and rail capacity to “boost international links” and support businesses in London.