A new U.S.–U.K. trade agreement has officially come into effect, marking a significant step in strengthening economic ties between the two allies, RKS News reports.
According to a formal statement issued by the British government on Monday, the deal—signed by U.S. President Donald Trump and U.K. Prime Minister Keir Starmer—includes major tariff reductions in key industrial sectors.
Under the agreement:
British car manufacturers will benefit from a new export quota with a reduced tariff of 10%, down from the previous 27.5%.
Tariffs of 10% on aircraft engines and parts have been completely eliminated, enhancing the global competitiveness of the U.K.’s aerospace industry in the U.S. market.
“This is a win for British exporters and a clear signal of improving trade relations with the United States,” the U.K. government said in its statement.
However, steel and aluminum remain a point of tension. Britain has received only a temporary exemption from the up to 50% tariffs imposed by the U.S. earlier this month on several countries. Without a final agreement by July 9, the U.K. could still be hit by those duties.
British officials have confirmed that negotiations are ongoing to achieve the full removal of tariffs on key steel products, in line with commitments made by both governments.
