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American Focus > Blog > Economy > Donald Trump to announce trade deal with UK
Economy

Donald Trump to announce trade deal with UK

Last updated: May 7, 2025 10:52 pm
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Donald Trump to announce trade deal with UK
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If you’re looking for a comprehensive guide to what Trump’s second term means for Washington, business, and the world, then look no further than the White House Watch newsletter. This newsletter provides valuable insights and analysis on the latest developments in the Trump administration, offering a unique perspective on the impact of his policies on various sectors.

One of the most anticipated announcements from the Trump administration is the new trade pact with the UK, set to be revealed on Thursday. Sources familiar with the talks have indicated that this deal could potentially ease commercial tensions between the two countries, making Britain the first to strike a trade agreement with Washington.

President Trump teased the upcoming announcement on his Truth Social platform, hinting at a “MAJOR TRADE DEAL” with a “BIG, AND HIGHLY RESPECTED, COUNTRY.” This UK-US deal is just one of 17 agreements that the Trump administration is aiming to sign with major trading partners as part of efforts to scale back on tariffs imposed on countries worldwide.

The pressure is on for President Trump to deliver early trade deals to reassure investors and stabilize markets that have been rocked by trade tensions. The expected UK-US deal is a crucial step in this direction, demonstrating the administration’s commitment to de-escalating trade disputes.

Details of the pact are still unclear, including whether additional negotiations will be required to finalize it and the extent of tariff relief that Britain will receive. However, reports suggest that the agreement could involve lower-tariff quotas for British cars and steel exports, which were hit with 25% levies earlier this year.

See also  Dollar weakens after Trump attacks on Fed

In addition to the UK, the Trump administration is engaged in trade talks with other countries like Japan, Vietnam, India, and the EU. These negotiations are aimed at resolving trade disputes and fostering stronger economic relationships.

Meanwhile, tensions between the US and China continue to simmer, with Treasury Secretary Scott Bessent scheduled to travel to Switzerland for talks with Chinese officials on trade. The outcome of these discussions could have significant implications for global trade dynamics.

President Trump’s approach to trade negotiations has been met with criticism from some quarters, with concerns about the impact of tariffs on the economy and the potential for inflation. However, the administration remains steadfast in its belief that these measures are necessary to rebalance the global economy and promote domestic production.

As the world waits for the details of the UK-US trade pact to be revealed, the White House and the British embassy in Washington have remained tight-lipped. Stay tuned for more updates on this developing story and other key developments in the Trump administration.

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