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American Focus > Blog > Economy > Trump signs executive order to implement US-UK trade deal
Economy

Trump signs executive order to implement US-UK trade deal

Last updated: June 16, 2025 3:55 pm
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Trump signs executive order to implement US-UK trade deal
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Donald Trump has taken a significant step towards solidifying the trade relationship between the United States and the United Kingdom. In a bold move, the president signed an executive order directing US government agencies to implement the trade deal he negotiated with the UK.

This trade agreement includes provisions such as the reduction of American tariffs on UK cars from 27.5 percent to 10 percent for the first 100,000 vehicles exported annually. Additionally, UK exports of aerospace parts, particularly jet engines, will be exempt from US tariffs, a move that signifies the UK’s exemption from any potential levies stemming from a US national security investigation into the aerospace industry.

The US-UK trade deal, unveiled by Trump in the Oval Office, also includes a clause granting the UK exemption from certain US national security tariffs, provided it meets specific criteria related to excluding China from critical supply chains.

Following the signing of the executive order, UK Prime Minister Keir Starmer has faced pressure from domestic industries affected by tariffs to swiftly implement the trade deal. Trump and Starmer recently met at the G7 summit in Canada to discuss the agreement, with Trump confirming the completion of the signing process.

Both leaders expressed satisfaction with the terms of the trade deal, which also includes concessions from the UK in the form of increased market access for US beef, ethanol, and industrial products. However, negotiations surrounding the implementation of zero tariffs on UK steel and aluminum exports to the US have faced delays due to technical and legal issues.

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One of the key sticking points in the negotiations is the requirement that UK steel must meet specific criteria to qualify for tariff exemptions, a challenge given that a significant portion of UK steel is reprocessed from imported materials. Despite these challenges, both sides remain committed to finalizing the details of the trade deal.

While the British automobile industry has welcomed the reduced tariffs on UK vehicles exported to the US, the decision to grant US ethanol producers a tariff-free quota equivalent to the entire UK annual demand has raised concerns within the UK bioethanol industry. Critics argue that this provision could potentially harm domestic producers.

Overall, the US-UK trade deal represents a significant milestone in the economic relationship between the two countries. As both sides work to iron out the remaining details and implement the agreement, the future looks promising for increased trade and cooperation between the US and the UK.

TAGGED:dealExecutiveImplementOrderSignsTradeTrumpUSUK
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