INTERNATIONAL students in Scotland are being left in uncertainty and fear as they are faced with the direct impacts of the fluctuating exchange rates and changes to the global economy.
US president Donald Trump has enacted a series of rapidly changing tariff policies on all foreign goods into America – immediately influencing the global markets.
A baseline of 10% was set in place on goods from countries such as the United Kingdom, Singapore, Brazil, Australia, New Zealand, United Arab Emirates and Saudi Arabia.
China is currently facing the heaviest tariffs, raised to 145%, and responded the move by hiking its tariff on US goods to 125%.
Bloomberg Economics has predicted an instability in the global markets that has not been seen in more than 100 years – and international students in Scotland are among those left afraid of the consequences.
“The recent political and economic shifts have shaken me to the core,” says Izabella Imbeault, 24, a Canadian masters student in Human Rights and Diplomacy at Stirling University.
“The resignation of [prime minister Justin Trudeau] sent immediate shockwaves through the markets, and the resulting fluctuation in the exchange rate hit me harder than I ever imagined.
“Each dollar I bring from back home now converts into less, meaning every cent counts and it’s simply not enough.
“This isn’t about numbers on a screen. It’s about survival. The tariff war that has erupted in the aftermath has made things even worse.
“As a student, I already have to juggle long lectures, tight deadlines, and an intense workload. But now, I also have to think about whether I can afford my next meal or pay next month’s rent.”
Grace Gulliver Fennell is a 24-year-old Stirling University masters student, here from New Zealand to study Human Rights and Diplomacy.
She tells us: “I recognise that as a New Zealander I am in a pretty privileged position. New Zealand is a ridiculously expensive country so when I moved here, I found the cost of living and groceries very cheap compared to home prices.
“But with the tariff war kicking off, there’s this weird ripple effect. You might not think it impacts you directly, but prices creep up on imported goods and there’s just this general sense of uncertainty.
“It’s not just about the exchange rate anymore, it’s about how that instability also bleeds into everything, from transportation costs to university funding, and even job opportunities for students.
“I’ve found myself keeping tabs on the economic news much more than I ever did back home.
“I’m definitely calling home and asking my parents about the situation there a lot because you do feel quite disconnected from your home country as an international student.
“It’s hard to keep track of the situation here and at home. It’s a weird position to be in, but it’s also forcing a lot of us international students – and I’m sure local students too – to build resilience and plan ahead as much as we can. There’s a sort of unspoken bond that forms when you’re all trying to figure it out together in a foreign place.”
The ripple effect is something many experts have highlighted in their warnings. The custom tariff policy for “worst offenders” that the Trump administration believes have acted in ways that are undermining American economic goals has countries such as Vietnam facing a 46% increase and at high risk of plunging into a recession.
Dr Maha Rafi Atal, senior lecturer in Political Economy at the University of Glasgow, agrees that there will be many strands to the fallout.
“For the UK, the economic impact of the tariffs will be three-fold,” she explains. “If the Trump administration targets the UK for country-specific tariffs, taxing all exports to the US, however, the blow could be more significant, a loss of between £22 billion and £24bn to the UK economy.
“Second, there are the indirect effects of tariffs on the UK’s place in global manufacturing. Most trade today does not involve finished goods moving from one country to another.
“Third, global value chains will reorient in response to American trade barriers … If businesses reroute their supply chains to avoid the US market, the UK could become a dumping ground for excess steel and aluminium that can no longer enter the American market.”
Though the enactment of many tariff changes has been paused until July, the UK is projected to face increases of 25% on automotive parts, and the European Union a general increase of 20%, so the uncertainty is set to remain.
