October 2019
UK Printing targeted by Trump as US/EU trade dispute escalates
UK Printing targeted by Trump as US/EU trade dispute escalates
Whilst the headlines have so far, been dominated by aircraft and Irish and Scotch whiskies, the full list, published by US trade officials, does reveal that the new 25% trade tariffs will have a direct and detrimental impact on the UK printing industry, in particular the book sector – but also indirectly on the label and carton sectors.
The UK printing is one of the most important manufacturing sectors in the UK. With a turnover of over £14 billion, the UK is the world’s fifth largest producer of printed products, and employs over 112,000 people in 8,000 companies. UK printing contributes over £3.3 billion in wages to the UK workforce and provides a positive impact to the UK’s trade balance.
“Exports for UK printed matter was valued at over £3 billion in 2018. Over £450 million of this was to the US, making it the single biggest destination country for UK printed matter. Books are the largest component of UK print exports – over £2 billion worth, as such the UK is the world’s largest exporter of physical books.* Almost 20% of book exports are to the US (£386 million in 2018). It is a major concern to see printed books from the UK specifically feature on the US Trade product list with a 25% import duty to be levied as of 18th October 2019.”
“In addition to the tariff on printed books, the 25% tariff on Irish Whiskey and Scotch Whisky will also negatively impact the UK printing industry as an important part of these items are the bottle labels and the often prestige packaging surrounding the bottles. This will significantly hit packaging printers in the UK, in particular certain companies in Scotland and Northern Ireland which are supporting their local trade.”
Kyle Jardine Economist, BPIF
“The escalation of trade disputes and imposition of trade tariffs is damaging to all countries involved – including the US. These tariffs will hurt both the targeted countries, and consumers in the export markets by reducing their choice and increasing their costs. However, the specific targeting of the UK Printing Industry is a worrying development that will likely lead to reductions in turnover, investment and jobs in sectors and geographical areas that can ill afford it. The BPIF backs efforts by our government and the EU to resolve this dispute before these damaging sanctions come into effect.
“We will continue to support our members, and the wider UK Printing Industry, in our lobbying activities – and where necessary will work in partnership with resources from Intergraf (the European association for the printing industry) and the CBI. If these measures are imposed then we will be encouraging government to produce specific support measures to support affected companies throughout the supply chain.”
Charles Jarrold, Chief Executive, BPIF
Further sources:
US Trade – Tariff Product List
https://ustr.gov/sites/default/files/enforcement/301Investigations/EU_Large_Civil_Aircraft_Final_Product_Li st.pdf
UK Printing – Facts and Figures
https://www.britishprint.com/industry-involvement/research/facts-and-figures/
UK Printing – Trade Statistics
https://www.britishprint.com/industry-involvement/research/industry- research/more/28245/store/665676/page/2/uk-sees-record-exports-for-printed-matter-in-2018/
The Publishers Association
