The Government faces questions on how it will respond to US President Donald Trump's latest trade announcement, which threatens to impose tariffs as a retaliation for charging VAT on US goods.Mr Trump announced on Thursday that he would impose 'reciprocal tariffs' on all other countries, charging the same amount as levies imposed on American exports, claiming it was 'fair to all'.

The Government faces questions on how it will respond to US President Donald Trump's latest trade announcement, which threatens to impose tariffs as a retaliation for charging VAT on US goods.Mr Trump announced on Thursday that he would impose 'reciprocal tariffs' on all other countries, charging the same amount as levies imposed on American exports, claiming it was 'fair to all'.