Kananaskis, Canada – On the sidelines of the G7 summit in the Canadian Rockies, U.S. President Donald Trump and U.K. Prime Minister Keir Starmer formally signed a new bilateral trade agreement. Trump proclaimed, “We signed it, and it’s done,” declaring the deal a “sign of strength” for both nations.
Advertisement
Under the terms, U.S. tariffs on British car imports will be reduced from approximately 27.5% to 10% for up to 100,000 vehicles per year, and aerospace exports—such as jet engines—will be exempt from levies. However, steel tariffs remain at 25%, with further negotiations planned to potentially eliminate those duties.
Trump also celebrated the ties, saying the UK is “very well protected… because I like them,” and emphasised the deal would generate “a lot of jobs, a lot of income”. Starmer called the agreement “a very good day for both our countries,” while the pair deftly recovered a gust-displaced stack of documents—Trump joked the wind had got the better of them.
Despite the celebratory tone, key sectors like steel and pharmaceuticals are still under negotiation, with implementation expected for autos and aerospace by month’s end and further talks planned on metal quotas and regulatory alignment.
Advertisement
The agreement marks the first bilateral trade deal under Trump’s “liberation day” tariff regime and underscores a renewal of the “Special Relationship” between Washington and London.
