Lets take a breath: Definitely not happy Starmer embarks on diplomatic mission to talk allies out of any big retaliations over tariffs
Sir Keir Starmer is urging world leaders to cut trade barriers between themselves to soften the impact of Donald Trumps tariff war.
Sir Keir Starmer is urging world leaders to cut trade barriers between themselves to soften the impact of Donald Trumps tariff war.
The Prime Minister last night began a flurry of diplomatic calls designed to coordinate responses to President Trumps Liberation Day announcement on tariffs, which has triggered market meltdowns across the world.
Last night the Prime Minister discussed the crisis by phone with Italian prime minister Giorgia Meloni and Australian leader Anthony Albanese.
Downing Street said: They all agreed that an all-out trade war would be extremely damaging and is in nobodys interests, adding: It has been clear for a long time that like-minded countries must maintain strong relationships and dialogue to ensure our mutual security and maintain economic stability.
Sir Keir is expected to continue the diplomatic push with calls to a string of European, Commonwealth and Gulf leaders over the weekend.
Sir Keir Starmer began a flurry of diplomatic calls designed to coordinate responses to President Trumps Liberation Day announcement on tariffs
Australian leader Anthony Albanese received a call from the Prime Minister about the market meltdowns across the world
He will urge them to delay retaliating to the US move with tit-for-tat tariffs, which economists warn could plunge the world into an even deeper trade war.
And he will suggest that they work on lifting trade barriers to help offset the impact of the US Presidents tariff policy.
Whitehall sources said the PM was very interested in the proposal which was floated yesterday by former minister and Goldman Sachs chief economist Jim ONeill.
Lord ONeill said ministers were right to politely carry on discussions about a trade deal with the US.
But the independent peer said the US Presidents kamikaze approach meant leaders should also look to reshape the global economy and stop this addiction to the US consumer.
He said the economies of other G7 countries were roughly equivalent in size to the US, and suggested that other major powers like China and India could be asked to collaborate.
Italian Prime Minister Giorgia Meloni agreed with Downing Street that an all-out trade war would be extremely damaging and is in nobodys interests
He told BBC Radio Fours Today programme: A very sensible thing to be doing would be having a serious conversation with the other (G7) members about actually lowering trade barriers between ourselves.
That would be very healthy for all of those countries because its the one area for global trade where most countries havent done enough.
No 10 yesterday rejected Mr Trumps claim that he is very happy about the tariffs imposed on the UK, which are in the lowest 10 per cent band – half that levied on the EU. A spokesman said Sir Keir was disappointed by the move.
A Government source said Sir Keir would continue to pursue a trade deal with President Trump but added: He does not think we can just have a tactical response.