A trade agreement championed by Donald Trump is exacerbating a carbon dioxide shortage in Britain, threatening food production and hospitality.
US-UK Trade Agreement’s Impact
Experts point to a trade deal between the UK and the US, promoted by former President Donald Trump, as a key factor in the current crisis. The agreement weakened the domestic bioethanol sector, a major source of CO2.
The closure of the Vivergo plant in Hull and the suspension of operations at Ensus in Teesside – facilities that supplied a significant portion of CO2 for the British food industry – are direct consequences of the trade agreement.
Rising CO2 Prices and Supply Disruptions
The growing tension in the Middle East, particularly concerning Iran, has driven up energy prices, leading to reduced production in industrial facilities. CO2 is largely a byproduct of chemical processes, especially in fertilizer and bioethanol production.
Decreased activity in these plants directly impacts CO2 availability. The problem of CO2 shortages in the UK has been gradually escalating, but has become more serious in recent weeks.
Government Intervention and Emergency Measures
In response to the growing threat of shortages, the British government has intervened with a £100 million support package to restore production at the Ensus plant in Teesside. The facility’s CO2 production is a byproduct of bioethanol production.
The plant has been restarted and, according to authorities, has reached full production capacity for carbon dioxide. The government asserts these actions aim to safeguard the market against severe global supply disruptions, such as a blockage of the Strait of Hormuz.
Sectoral Concerns: Agriculture and Hospitality
The agricultural sector is particularly concerned, as CO2 is essential for humane stunning of animals before slaughter and for protective atmosphere packaging of meat. Farmers report a buildup of livestock unable to be processed due to issues at slaughterhouses.
The brewing industry has attempted to downplay immediate threats to beer supplies, but remains in contact with the government. Katie Jarvis of the National Pig Association fears the situation in the Middle East could worsen conditions and have serious consequences for animal welfare and farmer finances.
Lessons Unlearned from Past Crises
Scientific communities have criticized the government’s response, noting the current situation mirrors the crisis during the war in Ukraine, when reduced fertilizer production led to CO2 shortages across Europe. Experts suggest the UK failed to learn from previous experiences.
Chris Elliott of Queen’s University Belfast argues the UK should have maintained strategic production capabilities domestically, rather than relying on global markets. Similar opinions appear in economic analyses from international media, highlighting Europe’s increasing vulnerability to supply disruptions.
