Business Expert’s 12 Predictions On What Return Of Donald Trump Could Mean For Us & Uk Investment

Donald Trump’s journey back to the White House has moved a step closer following his Oval Office meeting with Joe Biden.

President elect Trump has vowed a smooth transition ahead of moving back into the White House in January.

But despite those assurances, Trump’s re-election has reverberated around the world, drawing concerns in some quarters that his victory could plunge the global economy into deep uncertainty.

Many experts point to the fact Trump campaigned on a raft of economic proposals, including higher import tariffs, especially on Chinese goods, additional tax cuts, and an immigration clampdown. And analysts have pointed out that while these actions could provide a short-term lift to the US economy, they could complicate wider global relationships.

Entrepreneur James Disney-May, a British businessman and investor, based in New York, believes Trump’s victory presents risks and opportunities for those who specialise in UK-US investment.

Strategic advisor and US business expert James, who specialises in SaaS investment, said: “A second Trump term may increase market volatility, but could present high-reward opportunities for UK investors. Success will be dependent on adaptability – balancing risk, aligning with US priorities and responding quickly to regulatory shifts. While the “special relationship” may face new challenges, adaptable investors could leverage Trump’s policies for significant gains in a dynamic and complex US market.”

Here, business owner James, shares his 12 predictions on what the return of Donald Trump could mean for UK and US investment. 

UK/US trade

*Trump’s “America First” approach could reshape UK-US trade negotiations, likely in favour of American interests. This could involve demands for concessions in high-stakes sectors, potentially disrupting British exports to the US. UK investors should prepare for and strategise around new tariffs and sector-specific trade frictions.

*Trump’s preference for foreign businesses with a US presence could benefit UK companies willing to establish local operations. British companies investing in manufacturing or distribution centres may find a warm welcome, potentially gaining smoother regulatory pathways and preferential trade terms.

Financial Services

*Trump’s deregulation initiatives could favour a more laissez-faire, pro-business environment in the US, reducing regulatory burdens and promoting capital growth. The UK’s financial services sector, which is vital to its economy, may find short-term opportunities in the US market, however increased volatility poses long-term risks.

*UK financial institutions may need to adjust their strategies to align with the evolving US regulatory landscape, particularly in areas such as cryptocurrency, data privacy, and financial disclosures. Firms nimble enough to pivot will have the edge in capitalising on these shifting regulatory tides.

 Tech Sector 

*Trump’s focus on tech independence and data regulation could lead to stricter rules on cross-border tech operations, impacting UK firms with US activities. However, a potential alignment between the US and UK on emerging technology initiatives, such as AI and cybersecurity may create new opportunities for UK tech firms with specialised expertise.

*As the US prioritises homegrown digital infrastructure and distances itself from Chinese tech, UK firms may encounter regulatory challenges but also unique partnership opportunities. Tech sovereignty will likely dictate the rules of engagement in this sector.

Energy Policy 

*Trump’s support for fossil fuels combined with regulatory rollbacks may challenge the renewable energy ambitions of some UK firms, especially those reliant on federal support. However, opportunities could exist for UK companies specialising in technologies that improve fossil fuel efficiency, offering a bridge between traditional and renewable energy sources.

*For UK investors, betting on fossil fuels might once again be a winning strategy. Trump’s pro-energy stance could bring tax incentives and other perks to the sector, making fossil fuel investments an attractive prospect.

Strong Dollar 

*Trump’s anticipated tax cuts and deregulatory push could strengthen the US dollar, making American assets more expensive for UK investors and straining British companies reliant on US imports. Those with dollar-heavy portfolios may need to hedge against currency fluctuations, re-evaluating acquisition costs and profitability.

*A stronger dollar may benefit UK-based exporters by making British goods more competitive in the US market. UK investors with US interests might need to adjust their currency strategies to account for exchange rate fluctuations.

China

*Trump’s tough stance on China might pressure the UK to align more closely with the US, reducing dependency on Chinese supply chains. “Friend-shoring” initiatives could prioritise manufacturing and tech partnerships among allies, creating opportunities for UK firms in sectors like semiconductors, AI, and defence technology.

*For UK businesses willing to decouple from China, Trump’s policies may bring preferential trade arrangements with the US, solidifying the “special relationship” as global geopolitics evolve. Those prepared to realign could enjoy a competitive edge in the US market.

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