Trump tariffs have actually given UK businesses “a fantastic opportunity,” says UK brand riding high
Peter Wallbank, co-founder of UK brand August Race Group, says that although widely accepted as being a negative factor, President Trump’s tariffs mean that UK brands now comparitively look a much more attractive and financially rewarding option on the global market.
Wallbank says Trump’s tariffs and the subsequent retaliatory tariffs from other countries have actually given the UK “a fantastic opportunity” that his company has certainly leveraged.
Here, Wallbank discusses August Race’s strategy and how the company, which produces high-tech marine cleaning and care products, has secured new business following the tariffs.
“Businesses around the globe were shocked at President Trump’s announcement of what were in some cases huge increases of import tax rates for the USA meaning that for many their products had become untenable for US resellers to import,” explains Wallbank.
Who wins from Trump’s tariffs?
“While the aforementioned points regarding Trump’s tariffs are (of course) widely accepted as being negatives there are also some surprising positives,” continues Wallbank.
“Within my own business (August Race Group) we manufacture valeting and protection coatings and we often come up in competition against US-based brands. One of which, in particular, has been dominant in most countries for many years.
“However, with the introduction of the Trump tariffs and the inevitable retaliatory taxes that some of the hardest hit countries have imposed on the importation of products from the USA, suddenly importers are starting to look for alternative suppliers in other countries.
“Taking this into account, the list of Trump tariffs suddenly becomes a list of opportunities. In some cases, just the very fact that the US-based brand would no longer be prevalent in that country meant that we were able to demonstrate an emerging gap in the market that could be filled by August Race.
“In the case of August Race we were able to look at which countries had been hardest hit by the Trump tariffs and research which companies import our competitors’ products from the USA. We then systematically approached these importers with our own brand, which comparatively now presents a much more financially rewarding opportunity.”
Since the Trump tariffs were first introduced, August Race has appointed three new distributors including Maritime Marine Supply in Canada, Nova Marine in South Africa and one soon to be announced in India.
Trump tariffs versus Brexit
“There are parallels that can be drawn here between the consequences of these tariffs and the effect on British businesses post Brexit,” Wallbank says.
“Companies that had historically exported their products to Europe, [post Brexit] suddenly found that their customers were faced with large importation costs and increased paperwork which for many meant that they simply stopped trading with us and looked elsewhere.”
As MIN reported this year, many marine businesses are still shackled by the red tape and issues relating to Brexit that still impact their business.
Conversely, it appears that for marine companies including August Race, Trump’s tariffs provide new opportunities as UK businesses look comparatively attractive options compared to others.
“In short, this is very much a ‘swings and roundabouts’ scenario and of course there will be many businesses negatively impacted very much in the same way that British businesses were post Brexit but…..Trump’s tariffs could, in fact, also open up many new opportunities for UK-based businesses.”
Canada’s Maritime Marine Supply expands product offerings with UK’s August Race line in wake of tariffs
Following August Race’s strategy post tariffs, Canada’s Maritime Marine Supply has now added the August Race product line to its selection of marine supplies.
“We’re excited to bring August Race to our customers,” says Ron Savidant, president at Maritime Marine Supply. “Their dedication to quality and performance aligns perfectly with our values and commitment to excellence.”
The announcement comes as part of the succession of strategic distribution expansions from August Race. Sarah Wallbank, CEO, adds: “It has been a tense spring for international trade as businesses adjust to the emerging tariff situation but this has also instigated companies revisiting their supply chains and re-examining their options which in turn can create great opportunities.”
