Fears that Irish Sea border may harden if Northern Ireland 'caught in the crossfire' of Donald Trump's tariff trade war

DUP MP Jim Shannon said his "stomach is doing somersaults" because he is so concerned that Northern Ireland will be "caught in the crossfire" of a trade war between the USA and the EU, thanks to the latter's ongoing influence over the Province.

Meanwhile TUV MP Jim Allister said that these fears only serve to highlight the DUP's "folly of returning to Stormont with the Protocol in place".

The Northern Ireland Office told the News Letter that the UK government "will always act in the best interests of all UK businesses, which of course includes those in Northern Ireland".

On Wednesday, Mr Trump announced that goods from the UK (including Northern Ireland) would be subject to a 10% tariff when they enter the USA.

Meanwhile goods from the EU (including the Republic of Ireland) would be subject to a 20% tariff when entering the USA.

This has sparked expectations that the UK and EU could slap their own tariffs on goods coming from the USA in retaliation.

But unionists in Northern Ireland are now concerned about how that would work, given that a raft of EU rules still hold sway in Northern Ireland.

Specifically, their worry is that the EU will insist that any goods entering Northern Ireland via the USA should be subject to EU tariffs, not the UK's – further reinforcing the divide between GB and NI.

Speaking in the House of Commons on Thursday, Mr Shannon said: "I have real concerns for Northern Ireland business.

"Indeed my stomach is doing somersaults just worrying about the impact for Northern Ireland."

He added: "The government must take I believe urgent steps to protect Northern Ireland's interests, and to ensure our place in the UK internal market is fully safeguarded."

Soon afterwards Mr Shannon further went on to say in a statement: “There is still a lot of detail to be worked through, but what is clear is that President Trump’s tariffs will have a far-reaching impact on international trade but importantly for us, Northern Ireland is vulnerable to being caught in the crossfire of any EU retaliation...

“The Prime Minister has said he will protect the national interest. That must include Northern Ireland.

”We will continue to fight day and daily to safeguard Northern Ireland’s economic interests. The best way to do that is by fully restoring our place in the UK internal market – anything less leaves us at risk.”

Mr Allister told the News Letter: “Because the Protocol has left Northern Ireland in the EU's customs code, should the EU impose counter tariffs that would mean anything coming into Northern Ireland from the US would be subject to the tariffs whereas the same US goods entering other parts of the UK would not.

"Additionally, should the EU seek to use Northern Ireland as a back door into the US we could find ourselves penalised further.

"All of this underscores the deception which the DUP attempted to sell to the Unionist people when they claimed they had removed the Irish Sea Border and restored the Union. Patently that was false.

"Once again the folly of returning to Stormont with the Protocol in place has been highlighted, and unless or until Unionists get serious and put the Union before the ministerial limos, I see little prospect of the situation changing."

The UK government told the News Letter: “We will always act in the best interests of all UK businesses which of course includes those in Northern Ireland.

"Northern Ireland is a part of the United Kingdom customs territory and internal market. Northern Ireland exporters will face 10% US tariffs like exporters elsewhere in the UK.

"We will look closely at the details of the retaliatory tariffs announced by the EU and any impact these might have on businesses, but where goods moving to NI do not enter the EU, businesses can claim a full reimbursement of any EU duties paid.

"We will continue to support any affected businesses to use the Duty Reimbursement Scheme. HMRC is in regular contact with individual businesses to offer support where needed.”