On the 80th anniversary of Victory Day for World War II, President Donald J. Trump and Prime Minister Keir Starmer unveiled a groundbreaking trade deal that promises to deliver unprecedented access for American companies to the UK markets, all while enhancing U.S. national security. This historic agreement is poised to be extremely beneficial for America.
President Trump remarked, “The deal includes billions of dollars of increased market access for American exports, especially in agriculture, dramatically increasing access for American beef, ethanol, and virtually all of the products produced by our great farmers.” He emphasized that the UK will work to reduce or eliminate numerous non-tariff barriers that have unfairly discriminated against American products. “This is now turning out to be, really, a great deal for both countries,” he stated.
Echoing this sentiment, Prime Minister Starmer noted, “This is going to boost trade between and across our countries. It’s going to not only protect jobs but also create jobs, opening market access.” This trade deal is set to significantly expand U.S. market access in the UK, representing a $5 billion opportunity for new exports for U.S. farmers, ranchers, and producers. Key components of this deal include over $700 million in ethanol exports and $250 million in various agricultural products, such as beef.
The agreement commits both nations to collaborate on enhancing industrial and agricultural market access, while also closing loopholes that hinder U.S. firms' competitiveness in the UK’s procurement market. It ensures streamlined customs procedures for U.S. exports and establishes high-standard commitments in areas like intellectual property, labor, and the environment. Furthermore, it maximizes the competitiveness of U.S. aerospace manufacturers by providing preferential access to high-quality UK aerospace components and creates a secure supply chain for pharmaceutical products.
The previously announced reciprocal tariff rate of 10% is now in effect. The United States has agreed to an alternative arrangement regarding Section 232 tariffs on UK autos, with the first 100,000 vehicles imported into the U.S. by UK manufacturers subject to the reciprocal rate of 10%. Any additional vehicles will incur a 25% tariff. The deal also acknowledges the economic security measures the UK has put in place to address global steel excess capacity, paving the way for negotiations regarding Section 232 tariffs on steel and aluminum, thus creating a new trading union for these materials.
This U.S.-UK trade deal signifies the dawn of a golden age of opportunity for U.S. exporters and is designed to level the playing field for American producers. The actions taken today also set a precedent for other trading partners to engage in reciprocal trade with the United States.
President Trump remains committed to advancing the interests of the American people by enhancing market access for American exporters while lowering tariff and non-tariff barriers to safeguard our economic and national security. On April 18, President Trump and Prime Minister Starmer discussed strengthening our bilateral trade relationship, with total goods trade between the U.S. and the UK estimated at $148 billion in 2024.
While the UK maintains an average agricultural tariff of 9.2%, the U.S. average was 5% prior to April 2. The UK imposes certain tariff and non-tariff barriers that restrict market access and create an unfair playing field for American workers and businesses, such as tariffs exceeding 125% on meat, poultry, and dairy products. In response, President Trump imposed a 10% tariff on all countries on April 2, 2025, dubbed Liberation Day, to combat unfair trade practices that contribute to America’s trade deficit.
Since taking office, President Trump has challenged the notion that American workers and businesses should endure unfair trade practices that have disadvantaged them for decades. By reversing these conditions and addressing the lack of reciprocity in trade relationships, this trade deal is a crucial step toward ushering in a new Golden Age and achieving the goal of Making America Great Again. The Economic Prosperity Deal with the United Kingdom serves as a significant advance in reinforcing our special relationship and promoting reciprocal trade with this key ally and partner.
