Trump's first trade ‘deal' doesn't bode well for the rest of the world
OK, so! After a month of negotiations, we finally have a 'full and comprehensive' trade agreement with the United Kingdom. Old Blighty.
www.cnn.comThe latest confirmed news is that Trump and the UK finalized parts of the US-UK trade deal in mid-June 2025, with the US lowering tariffs on a limited number of UK cars to 10% and removing tariffs on some aerospace products, while steel and aluminum issues remained unresolved.[1][2]
What changed
- The deal activated tariff reductions for up to 100,000 UK vehicles a year, cutting the rate from 25% to 10%.[1]
- UK aerospace exports to the US were set to face no tariffs.[2]
- The agreement also opened more access for US beef and ethanol exports into the UK.[4]
What is still unresolved
- Steel and aluminum remained the biggest sticking point, with the US still imposing a 25% tariff on UK steel and aluminum imports at that stage.[2][1]
- There was still no final clarity on the “melted and poured” rule and how UK steel would qualify for lower rates.[1][2]
- The White House said it would negotiate an alternative arrangement on steel and aluminum, but the details were not settled.[4]
Current read
- The deal was politically important for Trump and Starmer, but it was only a partial agreement rather than a full removal of tariffs.[2][1]
- A more recent BBC report from April 2026 suggests Trump is still talking about the UK trade deal and could change its conditions, but the exact details of any new move are not clear from the available report.[8]
Would you like a one-paragraph summary of how this affects cars, steel, and food trade specifically?