Trump To Announce “Trade Deal” With UK Amid Ongoing Tariff Strategy
Trump is set to announce a “trade deal” with the UK this Thursday, a move that could have significant implications for President Donald Trump’s ongoing tariff strategy.
The agreement is reportedly in the works between the United States and the United Kingdom, though the specifics of the deal remain unclear.
The New York Times and Politico have confirmed that the deal would involve the UK, citing several people familiar with the negotiations.
However, the Wall Street Journal reported that what will be announced is a “framework” of the deal, rather than a finalised agreement.
This would be the first trade agreement to come since Trump imposed sweeping tariffs on US trading partners, which he dubbed “Liberation Day” on April 2.
Following the tariffs, which included a 10% levy on imports from around the world, Trump had temporarily suspended higher duties on dozens of nations, creating room for negotiations.
Trump mentioned in a statement on Wednesday that a “major trade deal” would be announced with a “big, and highly respected country,” though the media and analysts have raised doubts about whether the US and the UK have finalised a concrete deal, or if it’s a preliminary framework that still requires further talks.
The announcement will take place at a news conference in the Oval Office at 10:00 am (1400 GMT).
Trump has billed it as the “first of many” such agreements, marking the beginning of a series of international trade negotiations under his administration.
Downing Street in London confirmed that British Prime Minister Keir Starmer will provide an “update” on the ongoing trade talks later on Thursday.
A spokeswoman for Starmer said that talks on a deal between the two countries have been progressing at a fast pace.
The UK has been keen on securing a trade agreement with the US ever since Brexit, which saw the country exit the European Union at the start of the decade.
Starmer, who like Trump secured power last year, had advocated for a trade deal before Trump launched his global tariffs.
The potential deal between the US and the UK could create complications for the European Union, which is still grappling with the challenge of reaching a trade deal with the US.
This week, however, Britain struck a free-trade agreement with India, its largest such deal since leaving the EU.
The EU remains Britain’s biggest trading partner, though the United States is also its largest single-country trading partner.
Trump has previously claimed that countries have been lining up to strike trade agreements with the US, and reports suggest that the US might agree to reduce certain tariffs on British goods in exchange for the UK lifting the digital services tax on US tech giants.
London has not retaliated against Trump’s 10% tariffs on UK imports, nor the higher 25% duties on steel, aluminium, and the automotive sector.
However, Jonathan Portes, an economics professor at King’s College London, remarked, “Any deal with the US is likely to be damage limitation rather than an economic boost.”
Portes added, “That is, it is likely to limit the Trump tariffs, but … exporters will probably still be facing higher tariffs overall than they were last year.”
Deutsche Bank analyst Jim Reid noted that “full trade deals take years to negotiate,” suggesting that what will be announced is likely just a framework.
He added that it would be interesting to see whether the 10% baseline tariff remains, as it could set a template for future negotiations with other countries.
The Bank of England is also expected to announce a quarter-point cut in its key interest rate on Thursday as the looming tariffs threaten to weaken global economic growth.
Starmer had visited Washington in late February to discuss tariffs and left hopeful about reaching a deal.
Trump, during this visit, had praised Starmer as a tough negotiator and suggested that a great deal could be on the horizon.
During the visit, Starmer extended an invitation for Trump to meet King Charles III for a second state visit, an event that London hopes will strengthen the UK’s relationship with the US.
Trump has long expressed admiration for the British royal family, and he has a personal connection to the UK, as his mother was born in Scotland, where he owns a golf course. course.
Titilope Adako is a talented and intrepid journalist, dedicated to shedding light on the untold stories of Osun State and Nigeria. Through incisive reporting, she tackles a broad spectrum of topics, from politics and social justice to culture and entertainment, with a commitment to accuracy, empathy, and inspiring positive change.
