A Big Day for US-UK Trade: Trump Announces Groundbreaking Deal
Trump forms a trade agreement with Britain through a signing ceremony.
In an exciting turn of events, US President Donald Trump has announced via his Truth Social platform that the United States and the United Kingdom have reached a "full and comprehensive" trade deal.The intervention has been described as a significant stride in the relationship between the two nations.
According to Trump, the agreement will be a "very big and exciting day" for both countries. A press conference is scheduled in the Oval Office at 10 am local time / 4 pm CEST. Trump stated that he is honored to have the United Kingdom as the first announcement, hinting at more agreements to follow soon.
Initially, no further details have been released. Media speculation suggests that the deal may bring some relief for the UK from Trump's tariffs. The British automotive industry heavily relies on exports to the US, and concessions in agricultural products and tax on digital services were rumored. However, the extent of such concessions and the duration of any measures still remains unclear.
A Shift in Trade Landscape
The U.S. currently imposes a 10% tariff on most U.K. exports, with an exceptionally high 25% tariff on steel and aluminum, and on cars and car parts. The UK recently finalized an extensive free trade agreement with India, with Prime Minister Keir Starmer heralding a new era of trade.
The mechanism of this agreement with the U.S. might impact potential reconciliation with the EU. At an upcoming EU-UK summit on May 19, it is expected that Starmer, EU Commission President Ursula von der Leyen, and EU Council President António Costa will discuss a deepening of their shared relations. Reports have suggested a potential dynamic agreement in the area of animal health and food standards.
Notably, sources indicate that U.S. food standards will not be recognized under the new agreement, ensuring chlorinated chicken and hormone-treated beef will not be sold in British supermarkets [Financial Times].
The US and the United Kingdom have a trade surplus of nearly $12 billion, with key U.K. exports to the U.S. including cars and pharmaceuticals, while the U.K. imports large quantities of crude oil and gas from the U.S.
This marks the first major bilateral trade pact since Trump launched his campaign of global tariffs in early 2025, indicating that similar deals with other countries may be in progress. The full details of this groundbreaking agreement are set to be revealed in the coming days.
Sources: ntv.de, spl/dpa/DJ
- Tariffs
- UK
- US
- Donald Trump
- Trade Relations
- A possible relief for the UK from Trump's tariffs on its exports to the US might be part of the new trade deal announced by Donald Trump.
- The trade agreement between the US and the UK, as announced by Trump, could impact trade relations between the UK and the EU, especially regarding food standards.
- The US currently imposes tariffs on most UK exports, including a 25% tariff on steel and aluminum, cars, and car parts, but the new agreement might bring a change in these tariff policies.
- Although no details have been released yet, the 'finance' sector might be keenly interested in the consequences of this new US-UK trade deal on the business and economic landscape, particularly for the automotive industry.
- The new trade deal, announced by Donald Trump, may signal a shift in global trade policies from protectionist measures to more compassionate trade relations, as reflected in the potential easing of tariffs on UK exports to the US.
