Saturday, 26 July 2025

USA messing with the Global Market Place

 USA Messing with the Global Market Place


I have been watching to actions of the USA like a hawk, as I am sure more of the global construction market is also doing.

Its frightening, how bad the USA’s decission to inpose tarifs on all goods entering the USA, I am sure there will be exceptions, there always is, but the Construction Market will be hit, of that I have no doubt.

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I have read most of the FT article on this, and for the first time, had major talks with three AI programs, Grok, Pi and Gemini , all have much the same feeling, pun intended, the ripple we will see, if its not already started, will be:

* Increased Material Costs:

* The US tariffs, particularly those on steel and aluminum, directly affect core construction materials. This leads to higher import costs for UK construction firms that rely on these materials.  

* Supply Chain Disruptions:

* The tariffs can disrupt established supply chains, forcing UK companies to seek alternative sources for materials. This can lead to delays and increased logistical complexities.  

* Competitive Pressures:

* UK construction firms face increased competitive pressure as material costs rise. Those unable to adapt may see reduced profit margins or even be forced out of the market.

* Project Delays and Budget Overruns:

* Rising material costs can lead to project delays and budget overruns, impacting project timelines and financial stability.  

As I have been working since 1969, I have been through several major political upheavals, the Miners strike, several recessions and strikes, mostly I happen to be working on large projects and rode out the bulk of the problems, Architecture does tend to ride out some of the blips, but with this recent upheaval I tend to agree with the general consensus, the market place is going to take a major dive just because of a lack of materials.

But, and like always, there is a but. Its quite possible the market place might just level out, because the major players will seek out alternative markets, just to keep materials flowing, and offer good discounts.

I worked in several material manufacturers mostly in a tech position, but I can see sales managers bringing in all there top staff, and sending them all over the world, with one goal keep our factories running, do deals.

OK there might be a few exception, but if I were a construction buyer, my phone would be red hot, not with incoming calls but by me phoning contacts, trying to secure materials, and strong secure partners.

I can see the major distributors looking for secure supplies, some will be already smiling, as they do not deal with the USA, but be careful, the ripples are starting to rise and the USA will need its share of the market, and be trying to offer lower tarifs, just to keep supplies inboud to the USA,

Its a strange market, and one that will need carefull negotiations, I once sat with a guy on a plane, we sarted talking, and but the time we parted, I had his card, and a deal.

Would I have got that deal and the friendship by threats and harsh words, no, trade is as old as the earth, it takes time, a meal, a few beers if thats ok, or in my case very strong coffee, a long discussion on sport, a few laughts and a simple email thanking him for cutting a long flight into an enjoyable trip.

President Trump, you have made a vast mistake, yes it might make the USA wealthy, but come the next big problem, countries will remember your actions and refuse to help. I had been planning a trip to the Missasipi soon, not now.

I might be wrong, I hope I am, but I see major problems, and some surprising new relationships for the UK, A stronger EU relationship, China surprisingly being more interesting, Australia, India and certainly Africa, and the southern Americas, all needing friends and strong partners.


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