British businesses are scaling back from the United States and looking east, as new figures reveal a year of changing export priorities.
The latest UK Trade Barometer from Manchester Airports Group (MAG) and the Growing Together Alliance shows manufacturers in particular pivoted away from America in 2025, focusing instead on Asia, Europe and Australasia.
Based on a survey of 2,000 firms conducted with YouGov, the findings highlight both resilience – and a widening regional divide.
Manufacturers look to Asia and Europe
Nearly half (46%) of manufacturers reported increased exports in the final quarter of 2025. However, just 16% said they had grown sales to the US, down from 25% at the start of the year.
Breaking into America also became less common, falling from 15% of firms in Q1 to 8% by Q4.
Instead, manufacturers expanded into China, Japan and Australia. By year end, 12% reported growth in China (up from 6%), 8% in Japan (up from 4%) and 8% in Australia (up from 4%). Seven EU countries also saw gains, with France, Germany and Spain among the most popular destinations.
Across all sectors, only 24% of firms said they increased US sales in Q4, down from 29% at the start of the year.
Construction and finance outperform
Construction proved one of Britain’s strongest export stories in 2025, with an average of 79% of firms reporting overseas growth across the year.
US sales fell from 43% of firms reporting growth in Q1 to 18% in Q4. Meanwhile, sales to Japan surged from 3% to 20%. Ireland, Malaysia, Singapore, Thailand and New Zealand also recorded solid increases.
Financial services ended the year strongly, with 59% reporting export growth in Q4 – up eight percentage points on Q3. The US remained steady for the sector, while Canada and India grew in importance.
London widens the gap
All regions saw weaker overseas sales at the end of the year, but London pulled further ahead.
In Q4, 64% of London exporters reported growth, compared with 50% in the North, 47% in the Midlands and 44% in the East of England. Earlier in the year, the gap had been far narrower.
Confidence levels also vary. While 44% of London firms expect export growth in the next quarter, that falls to 27% in the North and below 20% in both the Midlands and East.
“Direct impact of global events”
MAG chief executive Ken O’Toole said:
“As an island trading nation, we know how important our export performance is to the overall economic health of the UK. This full-year data shows the direct impact global events can have on businesses’ order books – but it also shows that British exporters are skilled at diversifying and pivoting to new markets – harnessing the resilience and innovation of our globally trading firms will be important if we want to kick-start growth.
“While some economic indicators point to a potential upturn in growth during the course of 2026, the fact fewer than one in three exporters expect to increase sales in the first part of this year paints a slightly different picture.”
Henri Murison, chair of the Growing Together Alliance, added:
“Over the course of 2025 we’ve seen a clear recalibration in UK trade patterns. While America remains a vital market, particularly for manufacturers, exporters have increasingly diversified as conditions have shifted. This reflects geopolitical realities, but also the adaptability and resilience of UK firms.”
The overall picture is one of recalibration rather than retreat — but with clear challenges ahead if export-led growth is to spread beyond the capital.
