The United States has threatened to impose new trade tariffs on eight European countries following a dispute linked to Washington’s proposed takeover of Greenland.
President Donald Trump has announced a 10% tariff on goods imported from Denmark, Norway, Sweden, France, Germany, the UK, the Netherlands and Finland. The measures are due to come into force on 1 February and could later rise to 25% if no agreement is reached.
The warning has prompted concerns from business and logistics groups about the potential impact on global supply chains and inflation.
Logistics UK has urged politicians on both sides of the Atlantic to take a “measured and de-escalatory approach”, warning that renewed trade tensions could destabilise markets just as recovery from the pandemic begins to take hold.
James Mills, head of trade policy at Logistics UK, said the US is the UK’s largest single-country trading partner, supporting close to one million UK jobs. Around 40,000 UK businesses export goods to the US, many of them reliant on smooth logistics and predictable supply chains.
He said any new tariffs risked creating uncertainty at a time when exporters are already facing tight margins and rising costs. Mr Mills added that tariffs ultimately feed into supply chains and are often passed on to consumers.
The trade body said it supported the UK government’s position on Greenland’s sovereignty and right to self-determination, while stressing the need to protect trade flows and avoid unnecessary disruption.
President Trump has argued that Greenland, a Danish territory, is vital to US national security. In response, Denmark and several European allies have deployed a small number of troops to the island in a show of support.
Alongside the wider tariff threat, the US has also confirmed new import duties on certain advanced semiconductors, although at a lower level than previously suggested. A 25% tariff will apply to a narrow range of high-end chips, including the Nvidia H200 and AMD MI325X.
The White House said the semiconductor tariffs would not apply to chips imported to support the expansion of US technology supply chains, including data centres, consumer devices and public sector applications.
The measures follow a US investigation which concluded that imports of semiconductors and chipmaking equipment posed a risk to national security.
Semiconductors have been one of air cargo’s strongest growth areas in recent years, driven by surging global demand. Taiwan, which produces an estimated 80% of the world’s semiconductors, has been a major beneficiary, with airfreight volumes boosted by high-value chip exports.
Industry groups warn that further trade restrictions could disrupt these flows, adding pressure to global logistics networks and increasing costs for businesses and consumers alike.
