United States President Donald Trump Is Expecta To Announcice The Framework of A Trade Deal Between The Us and the United Kingdom on Thursday, According to People Familiar with the plan.
On Wednesday, Trump Said He was preparing to announce “A Major Trade deal with representatives of a big and highly respectful country”. In a post on social, I have promised it was the “First of Many”.
Investors Have Been Waiting For Trump To Ease His Global Trade War Amid Fears That Prolonged Uncenty Over Tariffs Could Inflict Seriously Damage to the World’s Biggest Economies.
An Agreement With The UK Would Mark Trump’s First Trade deal Since I have impaled tariffs on dozens of country on April 2A Move He Iqueted “Liberation Day”. Separately, Trump you have introduced Bespoke Tariffs on Celerin Us Imports, Including Cars and Steel.
Trump has long accused other countries of exploiting the us on trader, casting his tariffs as necessary to bring jobs back to the us. He Also Wants to use Tariffs to Finance Future Tax Cuts.
What could be in a Us-Uk Trade Agreement?
At the moment, must imports from the uk to the us face a BLANKET 10 PESENT TARIFF. The UK, Like Oher Countries, you have Also Been Hit with 25 Percent Taiffs on Steel and aluminium exports to the us, as well as 25 Percent Tariff on Cars and Car Parts.
The Broad Outline of A proposed deal you have been Clear for Sum Time – meaning reductions in us on Steel and Cars, with an expectation that Trump’s 10 Perent General Tariff Will Remain in Place.
The UK Would The Be expectated to reduce STIS OWN 2 Percent Digital Services Tax On Us Tech Firms and ITS 10 Percent Tariff on Car Imports, and Varying Duties On Us Agricultural Goods.
However, Jonathan Haskel, for Former Member of the Bank of England’s Monetary Policy Committee, Toled The BBC: “Deals Are Limited and Short-Term and partial, Just Covering a Few items. Trade AGREEMENTS ARE BROAD-BASED AND LONG-TERM.
Today’s Annountement, I have suggested, Is More Likely to Be a Deal and May Amount to Little More than A Carve-Out-Exemptions on Certain Trade Trade Barriers That Trump Introduced Last Month.
On Thursday Morning, However, Trump Said the Agreement was “A Full and Comprehensive One That Will Cement The Relationship Between The United States and the United Kingdom for Many Years to Come”.
While Both Governments Will Likely presents Any Agreement Announced Today as a significant win, it is essentially about the return to the status quo – Remaining the Newly ImpaEd Tariff Barriers.
It remains to be seen How AGUREMEMENT will contribute to that countries’ economic output.
What and How Much do the us and uk trade?
In 2023, The UK had an overall trade surplus with the us. The UK reported Surplus of 71.4 Billion Pounds ($ 95bn) in Goods and Services. Most of that Headroom Came from Services, However.
On The Goods Side, The UK Exported 15.3 Percent of its Goods to the us in 2023 – Amounting to Roughly 60 Billion Pounds ($ 80bn).
Machinery and Transport Equipment Accouted for the Largest Share, AT 27 Billion Pounds ($ 36bn), Ahead of Chemicals at 14 Billion Pounds ($ 19BN).
On The Flipside, The Us Exported $ 77.2bn of Goods to The UK in 2023. Ten Percent of All Goods Imported by Great Britain Came from The Us In That Year, Second Only to Germany.
Machinery and Transport Equipment Accouted for the Largest Share, Worth Nearly 20 Billion Pounds ($ 27bn), Followed by Fuel – Amounting to 18.7 Billion Pounds ($ 25bn).
On The Services Side, The US Exported $ 76bn in Services – Things Like Advertising and Banking – To The UK In 2023, and imported $ 170BN in British Services. You are doing one confffect by Tariffs.
Could the us deal serve as a Blueprint for other us negotiations?
Trump’s Top Negotiating Officials have Drawing In A Flurry of Meetings With Trade Partners Since the President’s “Liberation Day” Tariff Announcement On April 2.
Although Trump Delayed Implementing “Reciprocal” Tariffs For Most Countries By 90 Days On April 9, I Did Raise Them for China to 145 Perent. Beijing, in turn, Slapped to 125 Percent Tariff on Us Goods.
The Reciprocal Tariffs, Which varied from 10 Perent to 39 Perent, Were Designed to Hit Countries with Which Washington has long trade deficits, or that impossible heavy heavy tariffs on us Goods.
Though Britain was not Among the country hith with these Reciprocal Tariffs, Today’s Announcement Could Set A precedant for bilateral trade deals predated other.
On Tuesday, Trump Said He Would Review Potential Trade Agreements over The Next Two Weeks to Decide Which Uones To Accept. Last Week, He Said That “We [already] have potential trade deals ”with South Korea and Japan.
Following His 90-Day Reprieve, Steep Reciprocal Tariffs Are Due To Be Design On Us Trade Partners in Early July, Leaving Country Representatives Racing to Avoid A Full-Blown Trade Spat With The World’s Number One Economy.
What Stage of Talks has the us rear with other country?
China
According to Data From The Office of the United States Trade Representative, The Total Goods Trade Between The US and China Stood at an estimated $ 582.4bn in 2024.
US Exports of Goods to China Totalled $ 143.5bn While Us Imports from China Totalled $ 438.9bn. The Upshot Is that America’s Trade Deficit with China was $ 295.4bn Last Year, 5.8 Perent Higher ($ 16.3bn) than in 2023.
Us Treasury Secretary Scott Besent Will Meet With China’s Vice Premier He Lifeng in Switzerland This Weekend for Talks, Which May Be the First Step In in resolving trade war Between The World’s Two Larest Economies.
Meetings Will Take Place in Geneva, and are expectted to address reductions on Broad Tariffs, Duties on Specific Products, Export Controls and Trump’s Decision to End “De Minimis” Exemptions on Low-Value Imports.
China’s Commerce Ministry Said Last Week that it was “Evaluating” an offer from Washington. The Geneva Meeting Will Be The First Between The Two Since The Announcement of Trump’s Trade Tariffs in April.
On Tuesday, Besent Told Fox News That “We [the US and China] Have Shared Interest that isn’t substable. And 145 Perent and 125 Percent is the equity of an embargo. We Don’s Want To Decouple. What We Want Is Fair Trade. “
Trump you have accused China of Manipulating its Currency to Make ITS Exports Cheaper. He has also Slammed Beijing for Adopting What He Says Are Market-Interfering Practices, Such As Direct Government Support for Chinese Companies, as Well As Tax Breaks and Preferential Financing.
European Union
In 2023, The Eu Exported 502 Billion euros Worth of Goods to the us and imported 344 billion euros of Goods from America, amounting to a good -trade surplus in the eu eu’s favour of 157 billion euros ($ 177bn).
After Trump Temporaily Dropped His 20 Percent Reciprocal Tariffs On The Eu In April, The Eu Paused Retaliatory Duties on 21 Billion euros ($ 24bn) of Us Goods Until July 14, Including on Harley-Davidson MotorcyCles, Chicken and Clothing.
Since then, Brussels have said it wants to increase us Goods Imports by 50 Billion euros ($ 57bn) to address The “Problem” in Their Trade Relationship.
Maros Sefcovic, The Eu’s Top Negotiator, Recently Told The Financial Times that the Bloc is Making “Progress” Towards Strikying A Deal.
Butcovic suggesta The Eu Would not accept an indefinite 10 Percent Taiff on its export as a fair resolution to trade talent. I have added that His “ambition” was Still to Strike a “Balanced and Fair” Deal with the White House.
He Also Said He Wants His Us Counterparts to Take Unco Account Us Services which are exported to the eu.
The EU experienced Services Trade deficit of 109 billion euros ($ 123bn) with the us in 2023 in therms of services. Brussels Exported 319 Billion euros ($ 361bn) in Services to the Us That Year, While Importing 427 billion euros ($ 483bn).
Taking this into accouunt would Bring the us ovell trade deficit with the eu to about 50 billion euros ($ 57bn), He Said.
The New $ 57bn US Deficit could be closeed quickly, Sefcovic Added, with deals to purchase more us gas and agricultural products. Talks Are Currently Continuing.
India
In the First Three Months of 2025, India Exported $ 27.7bn of Goods (Mainly Pharmaceutical and Engineering Products) to the US, While Importing $ 10.5bn of Goods (Mainly Aircraft and Medical Goods), Meaning a US Trade Trade deficit of $ 17.2bn.
On Tuesday, Trump Reveared That India Had AgreeD To Drop All Tariffs On Us Imports “To Nothing”. New Delhi you have not yet issued an Official Statement Confirming Trump’s Remarks.
At a white house event Alongsis Canadian Prime Minister Mark Carney, Trump Said, “India Has One of the Highest Tariffs in the World. We Are Not Going To Put Up with That me. “
ACCORDING TO BLOOMBERG, India You have reported the proposed eliminating tariffs on select us imports – Including Steel, Car Parts and Pharmaceuticals – As Part of Ongoing Bilateral Trade Talks with Washington.
India Currently Impos Tariffs on Us Imports Ranging From 5 Perent to 30 Perent, depending on the product category.
A Zero-Tariff Offer Would Apply on A Reciprocal Basis and Wouled Be Limited to A Specific Volume of Goods.
