Stilton maker fears tariffs may 'wipe out' US trade

A manufacturer of Stilton cheese has warned tariffs threatened by US President Donald Trump could "wipe out" its US business if implemented.

Trump has threatened a 10% tariff on goods from eight countries, including the UK, in response to opposition against his proposed takeover of Greenland.

This could later rise to 25% in June if a deal is not reached.

Long Clawson Dairy, based in Leicestershire, told the BBC this would be on top of existing tariffs on cheese which currently range between 22% and 27%.

Managing director Bill Mathieson said: "If we get to [an additional] 25% in June and effectively Mr Trump has gone - and I hate saying the word given the current geopolitical context - nuclear with us, then I think our business is dead in the US."

He estimated about £10m of annual sales were exports to the US, which would force the company to tighten its belt if lost.

A tariff is a tax on imported goods, which because it is paid by the company, can lead to either price rises for consumers or reduced margins for businesses.

"The sad thing is, in the US, we've always had a very strong relationship, and we know our products go down very, very well there," Mathieson said.

"So if Mr Trump is allowed to do what he's doing towards the summer, it will wipe out a business that's taken us decades to build up in the US market.

"I would hate to be in Keir Starmer's shoes at the moment."

The East Midlands Chamber, which represents businesses in the region, said the tariffs were an "added level of pressure" for companies.

Lucy Granger, the body's head of international trade, said the threat alone of tariffs was enough to deter investment.

"There's a lot of changes within the whole scope of international trade at the moment... but then these additional changes are essentially a headache for these businesses.

"There are ways to still export to the US, it's not a closed market, but it definitely makes businesses look to other markets," she said.

In a statement on Monday, Prime Minister Sir Keir Starmer said a trade war with the US was in "no-one's interest", but the fate of Greenland should rest with the people of the island and Denmark.

Trump has repeatedly claimed US control of Greenland "is imperative for national and world security".

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