In a significant move, former President Donald Trump signed an executive order to enforce parts of the UK-US tariff agreement. The decision reduces taxes on British cars shipped to the U.S., marking a key step in bilateral trade relations. Prime Minister Keir Starmer hailed the move as a “very important day” for both nations.
The UK-US agreement lowers the levy on UK car imports from 25% to 10%. However, the deal excludes steel, a major sticking point for British manufacturers. Additionally, the order removes tariffs on certain aerospace products. Trump hinted that steel tariffs might be addressed later but provided no specifics.
Mike Hawes of the Society of Motor Manufacturers and Traders welcomed the UK-US tariff agreement. He stated that the deal allows many automakers to resume exports swiftly. Meanwhile, Business Secretary Jonathan Reynolds emphasized the government’s commitment to easing trade burdens.
The UK-US agreement aims to shield British industries from Trump’s aggressive trade policies. Despite this, critics argue the pact falls short of a full free-trade deal. Conservative leader Kemi Badenoch dismissed it as a “tiny tariff deal,” highlighting its limited scope.
While the UK-US tariff agreement is a step forward, negotiations on steel and other goods remain unresolved. Starmer expressed optimism, calling the deal a “sign of strength” in transatlantic relations. Trump, meanwhile, praised Starmer for achieving what others could not in six years.
The UK-US agreement brings immediate relief to car exporters but leaves key issues unaddressed. As both nations continue talks, businesses await further clarity on future trade terms. For now, the deal stands as a modest yet meaningful advancement in UK-US trade relations.
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