Starmer picks trade veteran Mandelson as UK ambassador to US

(Bloomberg) — Prime Minister Keir Starmer is set to appoint veteran Labor figure and trade expert Peter Mandelson as Britain's ambassador to the United States, in a bid to avoid the Great Britain -Brittany is not hit by the customs tariffs imposed by Donald Trump.

Mandelson, who was UK business secretary and chairman of the Board of Trade during Gordon Brown's tenure, is Starmer's choice for the role, according to people familiar with the matter. He also served as European Commissioner for Trade between 2004 and 2008.

Downing Street declined to comment. Mandelson was chosen because of his trade expertise, one of the sources said. The Times was first to report the story. He is expected to take office next month.

Mandelson's first task will be to repair relations between Starmer and Trump, which got off to a rocky start after Trump accused Labor activists of interfering in the US election by campaigning for Kamala Harris, his Democratic opponent. Trump ally Elon Musk has also regularly criticized Starmer on his X social media platform.

Its main objective will be to protect the United Kingdom from possible tariffs threatened by Trump, according to a person familiar with the matter. He hopes to learn lessons from the failure of trade talks between Britain and the United States during Trump's previous term, and intends to pursue a unified approach to talks rather than copying the three-way negotiating strategy used previously, which sought to separate the two countries. the least controversial areas on tariffs and market access, ultimately ending without a deal, the person said.

The UK's top priorities would be tariff liberalization, regulatory standards, mobility and securing much-needed investment from US businesses and investors, the source added. Starmer was convinced by Mandelson's business credentials, in light of his experience managing complex trade deals while an EU commissioner, including the Doha Development Round and the EU Free Trade Agreement -South Korea, blocks first with an Asian country, one of the sources said.

Mandelson rose to prominence during the administrations of Tony Blair from 1997, where he was credited with playing a key role in modernizing the Labor Party. He was also involved in several controversies and twice resigned from government positions. His reputation as a political operator during this period earned him the nickname Prince of Darkness.

As chairman of government relations firm Global Counsel, Mandelson has cultivated business connections in the US that Starmer hopes he can use to attract investment to the UK. His clientele at his company included U.S. companies including OpenAI, JP Morgan as well as the American Chamber of Commerce, a person familiar with the matter said.

Earlier: Starmer and Trump speak by phone on UK-US relations and discuss Ukraine

The new ambassadors' views on China will also attract interest. Mandelson has long favored closer ties with Beijing, a position that is consistent with that of Starmers' government but could put him at odds with some members of the Trump administration.

He also sparked controversy earlier this year when he suggested Starmer should use Nigel Farage, Britain's right-wing populist leader, as a means to gain access to Trump. Farage, leader of Britain's Reform Party, is a friend of the president-elect and met with Musk this week in the United States.

Mandelson will replace Karen Pierce, the UK's first female ambassador to the US, appointed in 2020 by then-Prime Minister Boris Johnson.

(Updates throughout.)

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