US lifts steel, aluminium tariffs for UK, cuts car rate to 10% as Trump announces new trade deal | World News

US President Donald Trump on Thursday has agreed to reduce tariffs on UK automobiles, steel, and aluminum as part of a planned trade deal, in exchange for increased British imports of American beef and both sides gaining better access to agriculture markets.
Trump said from the White House that his government has reached a trade agreement with the United Kingdom. The deal affirms that “reciprocity and fairness is a vital principle of international trade” and increases access for US agricultural products, Trump said, though he added that the final details were still being written up.
The announcement provided a political victory for UK Prime Miner Keir Starmer and provided a degree of validation for Trump’s claims that his turbulent approach to trade may be able to rebalance the global economy on his preferred terms, news agency AP reported.
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Commerce Secretary Howard Lutnick announced that the baseline 10 per cent tariffs would stay in place, while UK officials said that Trump’s auto tariffs would go from 27.5 per cent to 10 per cent on a quota of 100,000 vehicles and the import taxes on steel and aluminum would go from 25 per cent to zero.
Lutnick said British companies will now be able to export plane parts to the United States tariff-free. In return, a British airline is expected to buy $10 billion of Boeing aeroplanes.
“The final details are being written up,” Trump said. “In the coming weeks, we’ll have it all very conclusive.” The president said that the agreement would lead to more beef and ethanol exports to the UK, which would also streamline the processing of US goods through customs.
The British government said there would be “reciprocal market access on beef” with British farmers given a tariff free quota for 13,000 metric tonnes. Britain will also remove tariffs on US ethanol – which is used to produce beer.Story continues below this ad
The two sides will continue trying to agree a broader deal that will cover pharmaceuticals and reducing the remaining reciprocal tariffs. The US has also agreed that the UK will get preferential treatment in any further tariffs imposed as part of Section 232 investigations which give the US president powers to restrict imports if they are found to threaten national security.
(With inputs from AP)
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