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American Focus > Blog > Economy > Reeves and Bessent can see ‘landing zone’ for a UK-US trade deal, say British officials
Economy

Reeves and Bessent can see ‘landing zone’ for a UK-US trade deal, say British officials

Last updated: April 25, 2025 1:10 pm
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Reeves and Bessent can see ‘landing zone’ for a UK-US trade deal, say British officials
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UK chancellor Rachel Reeves recently engaged in discussions with US Treasury Secretary Scott Bessent, marking her first formal talks with her American counterpart. British officials revealed that both finance ministers found a “landing zone” for a potential bilateral trade deal during their meeting.

Reeves has indicated a willingness for Britain to lower tariffs on imports of US-made cars, agricultural products, and seafood in exchange for the Trump administration reducing levies on UK exports. Bessent, viewed as a moderate figure on tariffs within the Starmer government, acknowledges that final trade decisions rest with the Oval Office. Currently, the US has imposed a 10% baseline tariff on UK exports and a 25% levy on cars and steel.

Sources within UK officials reported that the conversation between Reeves and Bessent was productive, although a trade deal has not been finalized yet. The discussions have intensified, indicating progress towards a potential agreement.

While in Washington for the World Bank and IMF spring meetings, Reeves has been commended by global financial leaders for her dedication to free trade and supply-side reforms. IMF Managing Director Kristalina Georgieva praised Reeves for her efforts in reshaping spending priorities and regulatory frameworks.

Despite international acclaim, Reeves faces dwindling approval ratings at home, with a recent YouGov survey revealing that only 14% of respondents hold a positive view of the chancellor. In contrast, 62% expressed a negative opinion, resulting in a record-low approval rating of -48.

In an attempt to strengthen ties with the Trump administration, Reeves acknowledged some of the US’s concerns regarding global trade imbalances. At an event hosted by Britain’s ambassador to the US, Lord Peter Mandelson, Reeves highlighted the challenges posed by China’s economic rise and the need for transparent trade policies.

See also  US sends a shot across the bows of its allies over submarine deal

While recognizing the validity of US concerns, Reeves reaffirmed the UK’s commitment to multilateral dialogue and institutions, advocating against the use of tariffs and trade wars. By addressing these issues collaboratively, both countries aim to foster a mutually beneficial trade relationship.

Overall, the discussions between Reeves and Bessent signify a step towards resolving trade disputes and establishing a framework for future cooperation. As negotiations continue, the prospects for a bilateral trade deal between the UK and US appear promising.

TAGGED:BessentBritishdealLandingofficialsReevesTradeUKUSzone
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