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Donald Trump’s steel and aluminium tariffs have come into effect.

But what are they and what do they mean for the UK?

What are tariffs and why does Trump want to impose them?

Tariffs are taxes on goods imported into the US.

The US president wants to impose wide-ranging tariffs on nearest neighbours Mexico and Canada, which he says will help reduce illegal migration and the smuggling of the synthetic opioid fentanyl to the US.

However, most of the 25% duties imposed on the pair to date have been suspended until 2 April.

But two rounds of tariffs on China have been enacted – reflecting trade imbalances and Mr Trump’s battle against fentanyl.

So why is he now targeting steel and aluminium?

On Wednesday, a separate 25% tariff on all steel and aluminium imports to the US came into effect, affecting UK products worth hundreds of millions of pounds.

The steel and aluminium tariffs are designed to protect US manufacturing and bolster jobs by making foreign-made products less attractive.

The world’s largest economy relies on imports of steel and aluminium and Mr Trump wants to change that.

How have countries – including the UK – reacted?

The European Union has announced it will impose retaliatory tariffs on the US.

The European Commission said it will impose “countermeasures” affecting €26bn (£21.9bn) of US goods from 1 April after US tariffs on steel and aluminium came into force today.

The bloc’s tariffs will not only impact US steel and aluminium products, but also textiles, home appliances and agricultural goods.

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Trump100 Day 52: Tesla, tariffs and a step closer to truce

Canada has announced 25% retaliatory tariffs on US goods worth C$29.8bn (£16bn) from tomorrow, its country’s finance minister has said.

The tariffs will include steel products worth C$12.6bn (£6.8bn) and aluminium products worth C$3bn (£1.6bn).

Computers, sports equipment and cast iron goods are also among the other products subject to the new retaliatory tariffs.

Announcing the tariffs, Canada’s foreign minister, Melanie Joly, added that Canada will raise the issues of tariffs with European allies to coordinate a response to put pressure on the US.

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Trump’s tariffs are ‘disappointing’

While UK industry sees it as a direct attack, the reality is that this country is not a major player any more because energy costs, in particular, mean that UK-produced steel is expensive.

Nevertheless, stainless steel and some high-end products from the UK are in high demand and account for the bulk of the £350m in annual exports to the US.

Sir Keir Starmer has said he is “disappointed” to see Mr Trump impose global tariffs on steel and aluminium, saying the UK will take a “pragmatic approach” and “all options are on the table”.

The business secretary Jonathan Reynolds said on Wednesday morning that while he was disappointed, there would be no immediate retaliation by the UK government as negotiations continue over a wider trade deal with the US.

Why will metal products become more expensive?

It stands to reason that if you slap additional costs on importers in the US, that cost will be passed on down the supply chain to the end user.

If the aluminium to make soft drinks cans costs 25% more, for example, then the hit will have to be felt somewhere.

It could mean that any US product involving steel or aluminium goes up in price, but hikes could be limited if companies decide to take some of the burden in their bottom lines.

Read more on tariffs:
It may be harder for the UK to trump metals tariffs this time round
‘Canadianos’ and cancelled Vegas trips: How Canadians are acting with defiance

What are the prospects for higher prices?

It depends on the extent to which costs are passed down through the supply chain as new tariff regimes and any reciprocal tariffs are deployed.

We do know that Mr Trump plans to fully roll out duties, on all goods, against Mexico and Canada from 2 April. But the White House did row back on a threat to double Canada’s tariff on its steel and aluminium – the biggest exporter – to 50%.

But Mr Trump is also widely expected to target almost all imports from the European Union from the beginning of April.

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Trump adviser tells Sky ‘stop that crap’

Is the UK facing further tariffs?

Mr Trump has not explicitly said that the UK is in his sights.

Data shows no great trade imbalances – the gap between what you import and export from a certain country – and UK figures show no trade deficit with the United States.

UK ministers have previously suggested this could be good news for avoiding new levies.

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‘The ultimate cost of tariffs will be paid in the US’

Why tariffs could cost you – even if Trump spares UK

Even if no tariffs are put on all UK exports to the US, consumers globally will still be impacted by the wider trade war, particularly in the US.

Economists believe that tariffs will raise costs in the US, sparking a wave of inflation that will keep interest rates higher for longer. The US central bank, the Federal Reserve, is mandated to act to bring inflation down.

More expensive borrowing and costlier goods and services could bring about an economic downturn in the US and have knock-on effects in the UK.

Forecasts from the National Institute of Economic and Social Research (NIESR) predict lower UK economic growth due to higher global interest rates.

It has estimated that UK GDP (a measure of everything produced in the economy) could be between 2.5% and 3% lower over five years and 0.7% lower this year.

The Centre for Inclusive Trade Policy thinktank said a 20% across-the-board tariff, impacting the UK, could lead to a £22bn reduction in the UK’s US exports, with the hardest-hit sectors including fishing and mining.

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Nigel Farage’s deportation plan relies on these conditions – legal expert explains if it could work

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Nigel Farage's deportation plan relies on these conditions - legal expert explains if it could work

Explaining how they plan to tackle what they described as illegal migration, Nigel Farage and his Reform UK colleague Zia Yusuf were happy to disclose some of the finer details – how much money migrants would be offered to leave and what punishments they would receive if they returned.

But the bigger picture was less clear.

How would Reform win a Commons majority, at least another 320 seats, in four years’ time – or sooner if, as Mr Farage implied, Labour was forced to call an early election?

How would his party win an election at all if, as its leader suggested, other parties began to adopt his policies?

Politics latest: Starmer ‘angry’ about Farage’s language on migrant hotels

Highly detailed legislation would be needed – what Mr Farage calls his Illegal Migration (Mass Deportation) Bill.

But Reform would not have a majority in the House of Lords and, given the responsibilities of the upper house to scrutinise legislation in detail, it could take a year or more from the date of an election for his bill to become law.

Reform’s four-page policy document says the legislation would have to disapply:

The United Nations refugee convention of 1951, extended in 1967, which says people who have a well-founded fear of persecution must not be sent back to a country where they face serious threats to their life or freedom

The United Nations convention against torture, whose signatories agree not expel, return or extradite anyone to a country where there are substantial grounds to believe the returned person would be in danger of being tortured

The Council of Europe anti-trafficking convention, which requires states to provide assistance for victims

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Farage sets out migration plan

According to the policy document, derogation from these treaties is “justified under the Vienna Convention doctrine of state necessity”.

That’s odd, because there’s no mention of necessity in the Vienna Convention on the law of treaties – and because member states can already “denounce” (leave) the three treaties by giving notice.

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It would take up to a year – but so would the legislation. Only six months’ notice would be needed to leave the European Convention on Human Rights, another of Reform’s objectives.

Read more:
Women and children will be detained under Farage plans
Far right ’emboldened’ says MP as Starmer faces mounting pressure over immigration

Mr Farage acknowledged that other European states were having to cope with an influx of migrants. Why weren’t those countries trying to give up their international obligations?

His answer was to blame UK judges for applying the law. Once his legislation had been passed, Mr Farage promised, there would be nothing the courts could do to stop people being deported to countries that would take them. His British Bill of Rights would make that clear.

Courts will certainly give effect to the will of parliament as expressed in legislation. But the meaning of that legislation is for the judiciary to decide. Did parliament really intend to send migrants back to countries where they are likely to face torture or death, the judges may be asking themselves in the years to come.

They will answer questions such as that by examining the common law that Mr Farage so much admires – the wisdom expressed in past decisions that have not been superseded by legislation. He cannot be confident that the courts will see the problem in quite the same way that he does.

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Six injured after Leicestershire dog attacks

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Six injured after Leicestershire dog attacks

Six people are believed to have been injured after dog attacks in Leicestershire, police have said.

Officers received two calls regarding dog attacks in the area of Beveridge Lane, Bardon Hill, on Thursday morning – one at 6.30am and the other at 7.44am.

Leicestershire Police said that in the first call to police, a person reported seeing a man being attacked by two dogs.

Upon arrival, no dogs were located, but a victim was identified.

Later, in the second call to the force, three people were reported to have been bitten in the same location.

Two dogs – confirmed to be Caucasian shepherds – were then discovered after firearms officers, a police dog and its handler were deployed.

The force added that both dogs were safely removed and are now being held in secure kennels.

In an update on Tuesday, officers said that two further people had come forward to report they were bitten by a dog in the same location at the time, bringing the total to six.

Read more from Sky News:
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Women and children will be detained under Farage deportation plans

Two people, a girl aged 17 and a man aged 47, were arrested on suspicion of being in charge of a dangerously out of control dog in a public place.

The man was also arrested for a further two offences under the Animal Welfare Act. Both have been released under investigation.

Leicestershire Police also said it made a referral to the Independent Office for Police Conduct because of a prior report made about the dogs.

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Farage’s small boats plan not about policy but putting Labour and Tories on the spot

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Farage's small boats plan not about policy but putting Labour and Tories on the spot

If you want a dissection of whether the £10bn cost of Reform UK’s new deportation policy is an underestimate, the analysis that follows is going to disappoint.

Likewise, if you are here to hear chapter and verse about the unacknowledged difficulties in striking international migrant returns agreements – which are at the heart of Nigel Farage’s latest plan – or a piece that dwells on how he seemed to hand over questions of substance and detail to a colleague, again, prepare to be let down.

Like a magician’s prestige, if you laser focus on the policy specifics of Tuesday’s Farage small boat plan – outlined in a vast hangar outside Oxford, striking for its scale and echo – you risk misunderstanding the real trick, and Reform’s objective for the day.

Politics latest: Farage told to apologise for small boats crisis

For Farage has been around long enough in British politics that we should acknowledge upfront how he pulls the wool over his opponents’ eyes, and hence why he seems to wrongfoot them so regularly.

The intent was not to present proposals that will turn into policy reality in 2029.

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Nor was it about converting voters in any great number to Reform – if you warmed to Farage before, you might like him a bit more after this, in your view, straight-talking press conference.

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Farage’s deportation plan: Analysed

If you detested him, you will likely feel that more strongly and draw comparisons with Enoch Powell. I suspect he will be unbothered by either.

Instead, his announcement was about two things: seizing the agenda (ensuring more coverage of an issue redolent of the failure of the two biggest parties in British politics); and then putting both those other parties on the spot.

Success or failure for Farage, in other words, will come in how the Labour and Tory parties respectively respond in the coming days. Look what he’s done to the Tories.

The real policy meat of his speech comes in the Farage promise to rip up the post-Second World War settlement for refugees, drawn up with fresh memories of persecuted hordes fleeing the Nazis.

Along with an exit from the European Convention on Human Rights, the Reform UK leader would pause Britain’s membership of the 1951 Refugee Convention, the UN Convention Against Torture, and the Council of Europe Anti-Trafficking Convention.

Read more: Is it time for a different approach to stop people smugglers?

The pause of British membership of these treaties and conventions may even turn out to be temporary, he said.

“We do think there is hope that the 1951 Refugee Convention of the UN can be revisited and redefined for the modern world,” he said.

But action, he argues, is needed now because the 1951 UN Refugee Convention obliges signatories to settle anyone with a “well-founded fear” of persecution.

That, critics say, has become the “founding charter” of today’s people-smuggling industry and allows traffickers the right to offer a legal guarantee that if their clients make it to shore they’re covered – and boast this works in 98% of cases for the Sudanese and Syrians, and 87% for Eritreans – the recently updated approval rates. A big moment for a major party.

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Farage questioned over deportation plans

Yet this is almost – but not quite – the Conservative position. On 6 June this year, Kemi Badenoch gave a speech saying she was minded to pull out of the European Convention of Human Rights, and had commissioned a review led by Lord Woolfson to examine whether and how ECHR withdrawal, and pulling out of the the Refugee Convention and the European Convention Against Trafficking, might help.

So she added: “I won’t commit my party to leaving the ECHR or other treaties without a clear plan to do so and without a full understanding of all the consequences.

“We saw that holding a referendum without a plan to get Brexit done, led to years of wrangling and endless arguments until we got it sorted in 2019. We cannot go through that again.

“I want us to fully understand and debate what the unintended consequences of that decision might be and understand what issues will still remain unresolved even if we leave.

“It is very important for our country that we get this right. We must look before we leap.”

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In other words, what Reform UK did was steal a march on a likely Tory decision at conference.

Farage has eaten Badenoch’s homework. And she has been left accusing him of being a copycat of a policy she hadn’t quite adopted.

Then there is Labour. They accept the ends of Farage’s argument, but not, it seems, the means.

Home Secretary Yvette Cooper is reviewing parts of the European Convention on Human Rights – Article 3 (which prohibits torture, inhuman, or degrading treatment or punishment) and Article 8 (which protects the right to a family life).

But that hasn’t emerged yet, and will not, at its maximalist outcome, recommend the UK withdrawal from the convention.

And will Labour strategists really want the spectre of ministers having to repeatedly argue in favour of ECHR membership in interviews, given that is likely to be the position of two of their biggest opponents? Another conundrum for Labour, which has Farage as the author.

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From Saturday: Police clash with protesters

Then there is the question of language for both Labour and the Tories. Dare they go as far as Reform UK and adopt a tone more aggressive than anything seen in recent years – one which talks of “invasions” and “fighting age males” and sending people back to “where they came from”?

Will both political parties hold that line that this language, in their view, goes too far?

Tuesday’s speech was less about voters, more about Westminster politics as we enter political season. All done at an hour-long press conference that gave Farage a platform. Can the other party leaders now look like they’re ignoring him and wrestle back the microphone? Or can they not help themselves and respond in kind?

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