US President Donald Trump and British Prime Minister Keir Starmer. — Bloomberg
TORONTO: Prime Minister Keir Starmer reached an agreement with US President Donald Trump to implement trading terms disclosed last month to slash US tariffs on key British exports and raise quotas on certain American agricultural products.
Trump and Starmer on Monday presented a document signed at the Group of Seven meeting in Kananaskis, Canada, agreeing to move forward on measures easing trade of cars, agricultural and aerospace products – but falling short of an immediate cut to steel tariffs, a key British ask.
“Britain is very well protected,” Trump told reporters. “Because I like them, that’s why, that’s their ultimate protection.”
Trump signed an executive order on Monday that also exempts the Britain’s civil aerospace aircraft sector from Trump’s baseline 10% country-by-country tariffs, a significant tariff relief measure for a sector closely intertwined with the US industry.
British auto exports will see US tariffs slashed to 10% from 27.5% later in June on an annual quota of 100,000 vehicles.
On steel, the United States agreed to exempt Britain up to a certain quota that has not yet been set.
US Commerce Secretary Howard Lutnick will determine that quota of products that can enter the United States without being subject to the 25% tariffs, a White House official said.
Britain in turn committed to “working to meet American requirements on the security of the supply chains of steel and aluminium” including on the “nature of ownership” of relevant steel plants, according to the document. — Bloomberg
