US-UK Trade Deal: Steel, Agri, Auto To Boeing - Donald Trump, Keir Starmer Announce Historic Tariff Changes

US-UK Trade Deal: Donald Trump, the 47th US President, and Keir Starmer, the Prime Minister of the United Kingdom, have announced a breakthrough trade deal for driving the two countries' economies. As part of the US-UK trade deal, automobile, pharmaceutical, and aviation leaders like Boeing and steel & aluminum received a major boost with the revision in tariffs.

The US gets access to a new market in the UK that is going to boost revenue. Both US and UK have reduced their tariffs on imported products from each other.

As per Donald Trump's Truth Social update, the reciprocal tariffs for UK have been trimmed to 10% from the earlier 25%. The UK also reduced its tariffs to 1.8% from an earlier 5.1%.

This allows the USA to tap a new market worth $5 billion in the UK. Further, Trump is expecting the deal to drive the country's external revenue by $6 billion. Some of the unprecedented access for the USA in the UK market is in products like ethanol, beef, cereals, fruits, vegetables, animal feed, tobacco, soft drinks, shellfish, textiles, chemicals, machinery, and more.

The White House tweeted, saying, "President Trump announces the first breakthrough trade deal between America and the United Kingdom."

Here are the sectors to benefit the most from the US-UK trade deal:

Automobile: Trump announced the reduction of reciprocal tariff to 10% from earlier 27.5% on carmakers in UK that produce cars in USA. However, the new tariff will apply to a quota of 100,000 UK cars, which is as much as the total number of cars exported by UK in 2024.

Steels and Aluminums: Further, the Trump administration trimmed the 25% tariffs on steel and aluminum to zero.

Agriculture: For UK farmers, the US government has announced a tariff-free quota for approximately 13,000 metric tonnes of beef. Tariffs are brought down to ZERO for other products like ethanol and beer.

The 33rd US Secretary of Agriculture said, "POTUS' historic deal with the UK is a HUGE WIN for American farmers & ranchers."

She added, "Here in the United States, we produce the SAFEST and most ABUNDANT food supply in the world! This deal puts our great American Agricultural Producers FIRST!"

Pharmaceutical: Both countries have agreed to continue exploring better opportunities that would cover pharmaceuticals and further reduce reciprocal tariffs.

Also, the US has announced to give preferential treatment to the UK under Section 232 investigations, which is related to further tariffs.

Boeing: Another key benefit of the US-UK deal is the largest airplane maker Boeing of USA. As part of their agreement, a British airliner will purchase at least $10 billion worth of Boeing-made aeroplanes. In return, British aviation companies will have the benefit of exporting plane parts to the USA with zero tariffs.

Here's What US President Donald Trump Said:

On his Truth Social account, Trump said, "Today is an incredible day for America as we deliver our first Fair, Open, and Reciprocal Trade Deal - Something our past Presidents never cared about. Together with our strong Ally, the United Kingdom, we have reached the first, historic Trade Deal since Liberation Day."

He added, "As part of this Deal, America will raise $6 BILLION DOLLARS in External Revenue from 10% Tariffs, $5 BILLION DOLLARS in new Export Opportunities for our Great Ranchers, Farmers, and Producers, and enhance the National Security of both the U.S. and the UK through the creation of an Aluminum and Steel Trading Zone, and a secure Pharmaceutical Supply Chain. This Deal shows that if you respect America, and bring serious proposals to the table, America is OPEN FOR BUSINESS. Many more to come - STAY TUNED!"