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US and UK say they’ve cemented a trade agreement that Trump calls fair for both nations

  • At the G7 summit held in the Canadian Rockies on Monday, U.S. President Donald Trump and the U.K.'s Prime Minister Keir Starmer finalized a trade agreement aimed at lowering tariffs on British automotive and aerospace products.
  • The agreement followed a framework set in May aimed at reducing U.S. tariffs on British vehicles, steel, and aluminum while enhancing opportunities for American goods in the UK market, although uncertainty persists regarding the future of steel tariffs.
  • The agreement exempts Britain from a 10% U.S. auto tariff—down from 27.5%—up to 100,000 vehicles annually, removes tariffs on U.K. aerospace products, but maintains a 25% steel tariff pending further negotiations.
  • Starmer called the agreement an important milestone for both nations, highlighting it as a demonstration of their strong partnership, while Trump emphasized that the U.K. would have robust protections in place and predicted the deal would generate significant employment opportunities and economic benefits.
  • Despite the agreement, the steel tariff remains at 25%, causing uncertainty for British producers, but both governments pledged to continue working on steel tariff reductions and supply chain security.
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Portfolio.hu broke the news in on Monday, June 16, 2025.
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