Early on Thursday morning, UK Prime Minister Keir Starmer held a round table discussion with business leaders to discuss the impact of "Liberation Day".
He gave a few words to the assembled media. His language was noticeably sharper than it had previously been.
"Last night, the President of the United States acted for his country, and that is his mandate. Today, I will act in Britain's interests," he said defiantly.
In the hours after Donald Trump's announcement of 10% tariffs on the UK, along with a 25% tariff on car exports, the mood in Downing Street was said to be one of "vindication", given that it was lower than what European counterparts faced.
However, as the hours passed by, that relief seemed to transition into a mood of disappointment.
Mr Starmer spoke that morning of "all options being on the table". A 417-page document of sample US goods that could potentially face retaliatory tariffs was also published. They ranged from live lambs to Harley-Davidson motorcycles.
Despite the tough talk and threats, there was no indication of any immediate action.
In fact, the government announced it would launch a "consultation" with business leaders to assess the impact of retaliatory actions. This is due to last until 1 May, and even after that timeframe Downing Street is not saying whether the UK will be in a position to act straight away.
Holding out hope
Alongside this process, efforts to engage with the US will continue, indicating that the UK is still very much holding out hope that a deal can be struck.
It’s the right approach, according to former Conservative trade minister, Greg Hands.
He took part in the first six round of trade negotiations with the US administration during Donald Trump’s first term.
Mr Hands argues that UK retaliatory action would be a mistake, because such action assumes that the person on the other side is a "rational free-trader".
"When I started negotiating with Robert Lighthizer [former US trade representative] he said to me, 'I’m not a free trader’", Mr Hands recalls.
Mr Hands points out that "we're still in the space of hypotheticals", and it's too early to say how the next few weeks will pan out.
However, he also believes that there is a very real possibility that the EU will decide to take retaliatory action, while the UK manages to get some form of deal.
It would be a tangible Brexit benefit that Brexiteers could point to.
The former Tory minister warns that such a scenario could create a big differential in terms of the tariff rate, and potential tension between the UK and EU.
"Brussels might have reason to ask, hold on, you guys in the UK are committed to the global rules-based trading system, yet you're trying to carve out your own deal with Trump," he explains.
Nevertheless, Mr Hands also very much believes that the UK is right to seek a deal.
This could also create issues on the island of Ireland, especially if the EU implements significant retaliatory actions.
The UK government has assured Northern Ireland businesses that if they import US goods to the North, that are not destined for the EU, they will be able to claim compensation.
However, even on an individual consumer level, Mr Hands points out that there could be an impact.
"For the sake of argument, let's say the price of Levi Jeans in a Belfast store was 30% cheaper than in a Dublin Levi's store, could you have consumers crossing the border?" he asks.
For now, businesses operating in the UK are very much in a space of uncertainty.
Jaguar Land-Rover announced this weekend that it was pausing shipments to the US this month to develop its "mid to longer-term plans".
The British Irish Chamber of Commerce criticised the US tariffs this week, warning that they would impact 89% of its members across the UK and Ireland.
Paul Lynam, its deputy director general, said he struggled to see the rationale behind the decision.
"Some of the reasons given [for the tariffs] are absolutely ridiculous," he says, pointing to reasons such as VAT and GDPR.
'Cool heads'
He has called for "cool heads" to assess the impact and the best way forward. He also believes it's important to maintain EU unity.
According to Mr Lynam, Brexit has actually given Ireland vital experience in terms of diversifying into different markets.
Around 20% of the chamber's members have already put in contingency measures, to deal with the impact of the tariffs.
Nevertheless, businesses across the UK and Ireland could do without such uncertainty.
Over the coming weeks, Mr Starmer's government will take a twin-track approach, trying to strike a deal with the US administration, while also continuing its efforts to reset relations with the EU.
A special UK-EU summit is schedule to take place in late May.
Mr Starmer has insisted time and again that he does not need to choose between the EU and US. But trying to please both sides could prove to be a difficult balancing act.
