Politics
NEW: Trump Admin Releases Details On ‘Historic’ Trade Deal With United Kingdom
On the 80th anniversary of Victory Day, President Donald Trump and UK Prime Minister Keir Starmer unveiled a “historic” trade agreement, deepening economic ties between the two longtime allies while reinforcing America’s position on the world stage.
While early reports of a deal had swirled for days, Thursday’s announcement made it official: American exporters—especially in agriculture, aerospace, and pharmaceuticals—will gain unprecedented access to UK markets, with new rules aimed at streamlining trade, reducing tariffs, and protecting U.S. supply chains.
“This is a great deal for America,” Trump said. “The deal includes billions of dollars of increased market access for American exports, especially in agriculture, dramatically increasing access for American beef, ethanol, and virtually all of the products produced by our great farmers.”
The agreement represents a major win for U.S. farmers and ranchers, opening up more than $5 billion in new export opportunities. That includes over $700 million in ethanol exports and another $250 million in beef and related agricultural goods. Trump stressed the elimination of non-tariff barriers that he said had unfairly discriminated against American products for years.
WASHINGTON – Feb 27, 2025: President Donald Trump and U.K. Prime Minister Keir Starmer hold a joint press conference at the White House.
The trade pact also secures streamlined customs procedures and levels the playing field in public procurement, granting American firms greater competitiveness in UK government contracts. The deal includes strong protections for intellectual property and labor, and it creates a preferential framework for aerospace manufacturers and pharmaceutical suppliers to ensure resilient supply chains for critical industries.
Starmer framed the deal as a job creator on both sides of the Atlantic. “This is going to boost trade between and across our countries,” he said. “It’s going to not only protect jobs, but create jobs, opening market access.”
As part of the arrangement, the UK agreed to reduce or eliminate tariffs that had previously run as high as 125% on U.S. meat and dairy. The United States, for its part, will implement a revised tariff plan for British automobiles. The first 100,000 UK vehicles imported into the U.S. annually will face a 10% tariff, while vehicles exceeding that threshold will be subject to a 25% rate.
The deal also includes the foundation of a new “trading union” for steel and aluminum, a measure aimed at combating global overcapacity while facilitating U.S.-UK industrial trade. Trump noted that negotiations are already underway to replace Section 232 tariffs on UK steel and aluminum with an alternative agreement.
According to White House fact sheets, the UK was previously designated by the UN as a “Most Favored Nation” trading partner, yet it continued to impose high barriers on U.S. products. President Trump had long criticized these arrangements as one-sided and harmful to American producers, and said the agreement marks a decisive break from past policy.
The announcement comes on the heels of another U.S. trade pact with India and ahead of tense negotiations with China in Switzerland. U.S. Treasury Secretary Scott Bessent said the Chinese economy is feeling the strain of 145% tariffs and warned Beijing of continued pressure unless concessions are made.
Trump officials touted the UK agreement as a major milestone in the president’s America First economic agenda, positioning it as a framework for other nations looking to negotiate with Washington on fairer terms.
