logo
Flattery and pragmatism: UK plan to stay on Trump's good side

Flattery and pragmatism: UK plan to stay on Trump's good side

Yahoo12-02-2025

With its flattering rhetoric, leniency in responding to US trade threats and alignment with Washington this week at a summit on artificial intelligence, the United Kingdom has signalled a willingness to take President Donald Trump's side over Europe.
"The UK has no closer ally than America," Britain's newly appointed ambassador to the United States, Peter Mandelson, said on Tuesday, in a video overflowing with superlatives posted on Elon Musk's X platform.
The Labour party grandee, formerly a European commissioner, had told the BBC on Monday that Britain has "to respect and understand what drives (Trump), what his mandate is to do, and how his allies need to adjust sometimes".
David Lammy, Britain's top diplomat, also lavished praise on Trump last month, saying he displayed "incredible grace and generosity" and was "very funny, very friendly, very warm" during their meeting last September.
The comments were somewhat more complimentary than previous remarks by Lammy in which he called Trump a "woman-hating, neo-Nazi-sympathising sociopath".
The conciliatory tone is "likely to be calculated at keeping the UK out of Trump's crosshairs when it comes to tariffs and any other forms of aggressive US foreign policy," said Michael Plouffe, an associate professor at UCL university in London.
Jonathan Portes, an economist at King's College London, said "the UK, as usual, is trying to have its cake and eat it".
"This is perfectly rational and sensible," he added. "It is hoping to avoid the worst excesses of Trump at the same time as it pursues its rapprochement with the EU."
- 'Makes sense' -
The European Union remains by far Britain's largest trading partner, but London has dreamt of a trade agreement with Washington, which Prime Minister Keir Starmer recently called for, since leaving the bloc.
Faced with the frenetic start to Trump's presidency and his unpredictable diplomatic manoeuvrings, Starmer has in recent days made strategic choices to distance himself from the Europeans.
There is no question of Britain joining the EU's countermeasures promised on Tuesday in response to Trump's newly announced 25-percent customs duties on steel and aluminium, which the United States will impose from March 12.
Britain instead says that it is "engaging" with the United States on the details of the tariffs.
"What British industry needs and deserves is not a knee-jerk reaction but a cool and clear-headed sense of the UK's national interest based on a full assessment of all the implications of the US's actions," said British trade minister Douglas Alexander.
London also sided against the EU on the crucial issue of artificial intelligence, teaming up with the United States in refusing to sign the final declaration of the AI summit in Paris on Tuesday.
"We felt the declaration didn't provide enough practical clarity on global governance, nor sufficiently address harder questions around national security and the challenge AI poses to it," said a British government spokesperson.
This "cautious approach to the US" over AI is aligned with Starmer's promise to make the Britain a world leader in the sector, said Plouffe.
It also "makes sense" that Starmer would avoid "antagonism with the state that is home to three of the leading AI providers", he added.
"This may win some favour with Trump" at a time when the digital giants, who have become the Republican's close allies, are locked in regulatory disputes with the EU.
"I think he's done a very good job thus far," Trump said of Starmer in late January. "I like him a lot."
But can the British strategy work in the long term?
"That depends on just how confrontational Trump is with the EU and whether he wants to try to lever the UK away from the EU," Portes said.
"Since nobody -- including him -- knows what he's going to do, I certainly don't," he added.
zap/jwp/jhb/dhw

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Veteran fund manager reboots Palantir stock price target
Veteran fund manager reboots Palantir stock price target

Yahoo

time29 minutes ago

  • Yahoo

Veteran fund manager reboots Palantir stock price target

Veteran fund manager reboots Palantir stock price target originally appeared on TheStreet. There's been a lot of debate surrounding artificial intelligence stocks this year. A boom in AI spending, particularly by hyperscalers ramping infrastructure to meet surging research and development of chatbots and agentic AI, led to eye-popping returns for companies like Palantir Technologies, which markets data analytics platforms. However, concern that spending could decelerate has picked up in 2025 because of worry over a tariffs-driven recession, causing many AI stocks like chip-maker Nvidia to the eventual impact of tariffs on recession remains a question mark, there's been little to suggest demand for Palantir's services is slipping. Solid first-quarter earnings results and optimism that trade deals could make tariffs manageable have helped Palantir shares rally 63% this year after a 340% surge in 2024. Palantir's resiliency isn't lost on long-time money manager Chris Versace. Versace, who first picked up shares last year, recently updated his price target as Palantir's stock challenges all-time highs. Investors' interest in Palantir stock swelled after OpenAI's ChatGPT became the fastest app to reach one million users when it was launched in December 2022. ChatGPT's success has spawned the development of rival large language models, including Google's Gemini, and a wave of interest in agentic AI programs that can augment, and in some cases, replace traditional activity is widespread across most industries. Banks are using AI to hedge risks, evaluate loans, and price products. Drugmakers are researching AI's ability to predict drug targets and improve clinical trial outcomes. Manufacturers are using it to boost production and quality. Retailers are using it to forecast demand, manage inventories, and curb theft. The U.S. military is even seeing if AI can be effective on the battlefield. The seemingly boundless use cases — and the ability to profit from them — have many companies and governments turning to Palantir's deep expertise in managing and protecting data to train and run new AI apps. Palantir got its start helping the U.S. government build counterterrorism systems. Its Gotham platform still assists governments in those efforts today. It also markets its Foundry platform to manage, interpret, and report data to large companies across enterprise and cloud networks. And its AI platform (AIP) is sold as a tool for developing AI chatbots and apps. Demand for that platform has been big. In the fourth quarter, Palantir closed a "record-setting number of deals," according to CEO Alex Karp. The momentum continued into the first quarter. Revenue rose 39% year-over year to $884 million. Meanwhile, Palantir's profit has continued to improve as sales have grown. In Q1, its net income was $214 million, translating into adjusted earnings per share of 13 cents. "Our revenue soared 55% year-over-year, while our U.S. commercial revenue expanded 71% year-over-year in the first quarter to surpass a one-billion-dollar annual run rate,' said Karp in Palantir's first-quarter earnings release. 'We are delivering the operating system for the modern enterprise in the era of AI." AI's rapid rise has opened Palantir's products to an increasingly new range of industries, allowing it to diversify its customer base. For example, Bolt Financial, an online checkout platform, recently partnered with Palantir to use AI tools to analyze customer behavior better. More Palantir: Palantir gets great news from the Pentagon Wall Street veteran doubles down on Palantir Palantir bull sends message after CEO joins Trump for Saudi visit The potential to ink more deals like this has caught portfolio manager Chris Versace's attention. "The result [of the Bolt deal] will be technology that can offer shoppers a customized checkout experience, embedded within retailers' sites and apps, and it is one that will extend to agentic checkout as well," wrote Versace on TheStreet Pro. "We see this as the latest expansion by Palantir into the commercial space, and we are likely to see more of this as AI flows through payment processing and digital shopping applications." Alongside Palantir's deeply embedded government contracts, growing relationships with enterprises should provide Palantir with cross-selling opportunities, further driving sales and profit growth, allowing for increased financial guidance. Palantir is guiding for full-year sales growth of 36%, and U.S. commercial revenue growth of 68%. The chances for Palantir growth to continue accelerating has Versace increasingly optimistic about its shares. As a result, he's increased his price target to $140 per share from $ fund manager reboots Palantir stock price target first appeared on TheStreet on Jun 8, 2025 This story was originally reported by TheStreet on Jun 8, 2025, where it first appeared. Sign in to access your portfolio

The Deportation Wars Begin
The Deportation Wars Begin

Wall Street Journal

time36 minutes ago

  • Wall Street Journal

The Deportation Wars Begin

Rounding up and deporting millions of illegal migrants was never going to go down without protest. But President Trump is determined to do it, and no one can say he didn't tell voters during the campaign. But there are risks for both sides of this dispute, and especially for the country if it turns violent and triggers a military response from the White House. The weekend's clashes in Los Angeles are a sign of what could be ahead. Immigration and Customs Enforcement has been staging raids around the city hunting for migrants, including at businesses where they are thought to work. Workers, union leaders and pro-migrant activists hit the streets in protest. The clashes turned nasty in some places, some officers were hurt, and ICE and local police made arrests, including of a prominent union leader for interfering with federal officers. President Trump then invoked a little-used law to override what is typically state control and sent in 2,000 troops from the California National Guard. Cue the outrage from Democrats and cries of law-breaking on both sides.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store