UK car industry faces ‘difficult trade-off’ between Chinese and EU markets

Britain under pressure to put tariffs on cheap Chinese vehicle imports ahead of protectionist trade measures

Britain’s car industry is grappling with a “difficult trade-off” between China and Europe, as manufacturers struggle to balance the benefits of both markets ahead of looming trade measures that could restrict UK exports to the EU.

The UK is an outlier in choosing not to put import taxes on Chinese vehicles, even as the US has shut them out almost entirely, and the EU imposes duties of up to 45%.

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Macron says ‘welcome back’ to Burnham suggestion UK could rejoin EU

French president, speaking alongside Spanish counterpart Pedro Sánchez, says EU bid would be good news for UK and Europeans

The French president, Emmanuel Macron, has reacted warmly to Andy Burnham’s suggestion that the UK could rejoin the EU.

“Welcome back,” the French leader said in English with a smile at a news conference in Madrid on Wednesday. Macron continued in French: “If the British want to come back and if the prime minister is moving in that direction, I think that is very good news, both for his country and for the Europeans.”

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Andy Burnham: UK could ‘go all the way’ by rejoining EU

PM says he is looking at all options and ministers will examine ‘what is doable’ and the ‘pros and cons’

Andy Burnham has opened the door to the UK rejoining the EU, saying Britain could “go all the way”, as he prepares to reconsider Labour’s post-Brexit red lines.

The prime minister used a series of interviews after his emotional Labour conference speech to spell out how wide-ranging his consideration of Britain’s future with Brussels could be because Brexit had caused “more harm than good”.

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UK food and drink trade deficit largest since 2000 at £21bn

Industry leaders call on government to protect homegrown produce in the interest of national security

The gap between Britain’s food and drink exports and imports has neared its highest this century, as a combination of Brexit, war in the Middle East and US tariffs dented deliveries overseas while imports soared.

The UK’s food and drink trade deficit has risen to more than £21bn – the largest since 2000 – in what industry leaders said was a “wake-up call” for the government to protect homegrown produce in the interest of national security.

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UK losing up to £6.5bn a year in EU trade due to mismatched product rules

IPPR finds failure to align testing standards has forced companies to abandon exporting to EU and is costing costing 0.18% of national income

The UK is losing out on annual exports to the EU that could be worth as much as £6.5bn without a deal with Brussels that allows manufacturers to jettison duplicate product testing.

In the latest attempt to calculate the loss of trade with the EU after Brexit, the IPPR thinktank said many companies have given up selling goods to the EU or set up subsidiaries inside the trade bloc after successive governments failed to secure a mutual recognition agreement that would avoid the extra administration costs.

Motor vehicle and part exports would have been between £2.48bn and £3.42bn higher each year.

Electronic exports could have been between £1.17bn and £1.67bn higher.

Pharmaceutical exports would have had an estimated annual uplift of between £740m and £820m.

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British banks warned not to invest in planned Israeli settlement before UK trade ban begins

MPs send out letter as Israeli government seeks bids for construction of large E1 settlement in West Bank

British banks and financial institutions are receiving written warnings from MPs that they should not invest in Israel’s E1 settlement project even though new UK laws banning trade with illegal settlements are unlikely to be in place for months.

A letter was sent to banks on Tuesday by the all-party Britain-Palestine group of MPs saying the onus was now on banks to review their obligations not to cooperate with new settlements.

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George Osborne calls for UK to rejoin EU customs union and boost trade

Ex-Tory chancellor says economy has ‘fallen off a cliff’ since Brexit but rejoining union could be ‘quite simple’

The former chancellor George Osborne said Britain’s economy had “fallen off a cliff” since Brexit and that rejoining the European Union’s customs union would be the fastest route to recovery.

Osborne, who was sacked as chancellor by Theresa May after being part of David Cameron’s cabinet at the time of the referendum, said it was important to rebuild links with the EU.

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Miliband rejects chief rabbi’s claim that West Bank sanctions put UK Jews at risk

Foreign secretary says Sir Ephraim Mirvis wrong to suggest measures against Israeli settlements will make British Jews less safe

Ed Miliband has rejected warnings from the UK’s chief rabbi that the government’s sanctions against illegal Israeli settlements will make British Jews less safe, as he stressed ministers can confront the actions of Benjamin Netanyahu’s government while also fighting antisemitism.

The foreign secretary announced sweeping sanctions on trade with Israeli settlements in the West Bank on Tuesday, with the government taking the position that Israel’s occupation of the Palestinian territory was unlawful.

An import ban on goods from illegal settlements in the occupied territories and a new ban for arms licences and other exports that “materially contribute to the occupation”.

A comprehensive sanctions regime against providing services such as construction or financing for Israeli settlements and a ban on advertising them in the UK.

Personal sanctions against key individuals accused of promoting settler violence.

A new ban for arms licences and other exports that “materially contribute to the occupation”.

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Rejoining customs union would not fix damage caused by Brexit, research finds

Exclusive: Economists find Brexit caused 12% depression in UK exports, most of which is due to leaving single market

Brexit has depressed UK exports to the EU by 12%, and rejoining the customs union would undo only a fraction of the damage, research shared with the Guardian shows.

With the UK’s future relationship with the bloc likely to feature prominently in a potential Labour leadership contest, the economists John Springford and Anton Spisak, of the Centre for European Reform, provide fresh evidence of the damage caused by exiting.

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UK needs ‘national consensus’ over rejoining EU, David Miliband says

Ex-foreign secretary urges reset at ‘higher dosage’ after officials revealed to have pitched single market for goods

Britain needs a “national consensus” about rejoining the European Union, David Miliband has said, in response to revelations that the UK government pitched the creation of a single market for goods with the EU to the bloc.

The former foreign secretary, who is now president of the International Rescue Committee, said he thought the UK needed a reset of its relations with the EU at “a much higher dosage” than the government was planning.

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EU trade deal could force UK to restrict use of weedkiller linked to cancer

Glyphosate is currently sprayed on cereal and pulse crops to dessicate them and make them easier to harvest

A new trade deal with the EU could lead to restrictions on the use of the controversial weedkiller glyphosate on UK food crops.

The full-spectrum herbicide, which kills almost every plant it touches, is often sprayed on wheat, oats and other cereal and pulse crops shortly before harvest to desiccate them and make them easier to handle.

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Labour to back down on foie gras and fur bans to ease EU trade deal

Exclusive: Animal welfare charities ‘bitterly disappointed’ UK government plans to backtrack on manifesto promises

  • This article contains an image of a duck being force-fed that some readers may find upsetting

The UK government is to break a manifesto commitment to ban foie gras imports, and has declined to stop fur imports, after the EU made these red lines in its discussions for a trade deal.

Animal welfare charities say they are “bitterly disappointed” that ministers are failing to use powers granted by Brexit to restrict the import of these “cruel” items.

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European Commission proposes ‘Buy EU’ plan to compete against China

Plan, which aims to preserve jobs in clean tech and low carbon sectors, could include UK if there is reciprocal market access

The European Commission has proposed a “Buy EU” plan to boost domestic low-carbon industries and help the continent compete against China.

The commission published a draft regulation – called the Industrial Accelerator Act – on Wednesday, setting demands for EU-made and low-carbon content on bodies spending public money. The rules mark a major shift in economic thinking from Brussels, long a bastion of open markets.

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Decision to allow UK exports to Armenian firm under review over Russian links

Cygnet Texkimp was approved to export machines to Rydena, but ministers examining deal after Guardian highlighted founders’ links to Kremlin military supply chain

Ministers are reviewing a decision to allow a British company to export hi-tech equipment to Armenia after the Guardian uncovered links to the Russian military supply chain.

Cygnet Texkimp, based in Cheshire, was weeks away from exporting two machines that produce carbon fibre “prepreg”, a lightweight material that can be used in a range of civil and military applications.

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New planning bill could jeopardise UK’s trade deal with EU, ambassador warns

Exclusive: Proposed legislation removes EU-derived nature protections as government hopes to boost economic growth

Ripping up environmental protections will put at risk the UK’s free trade agreement with the EU, Europe’s ambassador has warned.

The Guardian understands Pedro Serrano visited the environment secretary, Emma Reynolds, this week and warned her that the planning and infrastructure bill going through the House of Lords could jeopardise the trade deal.

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UK metals firms threaten to sue government over tariffs on steel imports from Asia

Companies send letter to business secretary complaining new rules were imposed with 24 hours’ notice

UK metals companies have threatened to take legal action against the government over tariffs on raw steel imports from Asia which they claim have caused a “tsunami” of problems for the industry.

Earlier this summer, the business secretary, Jonathan Reynolds, reduced the amount of raw steel from Vietnam and South Korea that can be imported tariff-free in a move designed to protect UK raw steel makers, which face competition from cheap imports.

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John Swinney urges Trump to exempt scotch whisky from 10% tariffs

First minister says there is ‘window of opportunity’ as he holds talks with US president at Aberdeenshire golf resort

Scotland’s first minister has urged Donald Trump to exempt scotch whisky from 10% tariffs as the leaders met before a lavish opening ceremony for a second golf course at the US president’s Aberdeenshire resort.

John Swinney said he believed there was “a window of opportunity” to look at the specific tariff, which is believed to be costing the scotch whisky industry £4m a week.

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Starmer defends investment in wind turbines after Trump wrongly claims it is ‘most expensive form of energy’ – UK politics live

UK PM meets US president at his golf course in Turnberry, Scotland, where they discuss energy, Gaza and trade

In a column for the Daily Record, John Swinney, Scotland’s first minister, has said that, if the SNP get a majority in next year’s Holyrood elections, that will be a mandate for a second independence referendum. He said:

Over the next few months, the SNP will set out some radical policies that we know will transform Scotland – ambitious ideas that can be realised with the powers of independence.

For us to achieve that independence, the first step is to secure a legal referendum recognised by all. In 2011 we secured that reliable and dependable route when the SNP achieved a majority of seats at Holyrood.

Tariffs are very important for the Scottish economy and obviously scotch whisky is a unique product.

It can only be produced in Scotland. It’s not a product that can be produced in any other part of the world. So there’s a uniqueness about that, which I think means there is a case for it to be taken out of the tariffs arrangement that is now in place.

I think what’s important is that we focus on the solutions that are required now, and the absolutely immediate situation is a necessity for a ceasefire and for humanitarian aid to need to flow into Gaza so that the people of Gaza can be saved from the starvation that they face.

And I think President Trump is ideally positioned. In fact, he’s perhaps uniquely positioned to apply that pressure to Israel to ensure that there is safe passage for humanitarian aid to support the people of Gaza, who face an absolutely unbearable set of circumstances as a consequence of the conflict.

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Jeremy Corbyn confirms he is setting up new political party with Zarah Sultana – UK politics live

Former Labour leader said he was founding the new party, which is being referred to currently as Your Party

Business secretary Jonathan Reynolds blamed Donald Trump’s tariffs and competition from China for the slump in vehicle manufacturing.

He told BBC Breakfast he was “very concerned” about the industry, which he described as the “jewel in the crown” of British manufacturing.

I’m very concerned about automotive, the pressures on the system which come from the US trade agenda, but also an incredible increase in capacity from China.

It’s why as a government we’ve adopted so many measures specifically around the automotive sector.

The UK state pension is already one of the worst in the entire developed world, which is a direct result of decades of governments transferring both our national and personal wealth to the super rich.

Any decision to squeeze more out of working people by forcing us to work even longer would be a national disgrace.

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Trump’s 10% tariff on most UK goods ‘here to stay’, says Lord Mandelson

British ambassador to US believes universal levy unlikely to change but there is ‘scope’ for negotiations in some sectors

The 10% tariffs on most UK goods imported into the US are likely “here to stay”, according to Lord Mandelson.

The British ambassador to the US said the “universal 10% tariff” was unlikely to change but that there was “scope” for negotiations in different sectors and industries, such as technology.

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