
Days after securing a landmark Free Trade Agreement (FTA) with India British Prime Minister Keir Starmer announced a historic trade deal with the United States on Thursday. The UK minister chose Tata Motors-owned Jaguar Land Rover (JLR) factory in northern England for making this announcement. After a phone call with President Donald Trump Starmer addressed workers at the JLR plant in Solihull celebrating the agreement as a big win for the automotive industry. Under the deal car export tariffs will drop from 27.5% to 10% benefiting a quota of 100000 UK cars—nearly the total number exported by Britain last year. “We are the first country to secure such a deal with the United States and in an era with global insecurity and instability that is so important” said Starmer. “We are sending a message to the world that Britain is open for business striking trade agreements with India on Tuesday with the US today and working to boost trade with other partners too including of course the EU (European Union) with whom we have a really important meeting a week on Monday” he said. Besides carmakers the sectors highlighted by 10 Downing Street as benefiting from the UK-US trade deal include steelworks and farmers. The 25 per cent steel tariffs will come down to zero and for UK farmers a reciprocal market access will mean a tariff-free quota for 13000 metric tonnes of beef. Additionally ethanol used to produce beer will see tariffs down to zero for the UK. “I will approach negotiations in the same way I have approached negotiations with India and with President Trump to get to today’s deal Starmer said. With India I met Prime Minister Modi at the G20 in Brazil we agreed that we would get our teams to work together at pace in a respectful courteous business-like way with President Trump we’ve operated in the same way... The same with the EU respectfully negotiating in relation to the summit we’ll have a week on Monday” he added. Downing Street said that work will continue on the remaining sectors such as pharmaceuticals and other reciprocal tariffs. It highlighted that “in an important move” the US has agreed that the UK will get preferential treatment in any further tariffs imposed as part of Section 232 investigations. The deal opens the way to a future UK-US technology partnership through which both science-rich nations will collaborate in key areas of advanced technology like biotech life sciences quantum computing nuclear fusion aerospace and space Downing Street noted. UK Business and Trade Secretary Jonathan Reynolds credited the UK negotiating team’s “calm approach and proactive engagement” for a deal which cuts tariffs and costs for businesses. “Businesses across the country will be glad to see our approach working but this is only the beginning. We look forward to strengthening our trading relationship with the US through a wider economic deal” he said. The Digital Services Tax remains unchanged as part of the deal with both countries agreeing to work on a digital trade deal that will strip back paperwork for British firms trying to export to the US. The deal includes billions of dollars of increased market access for American exports especially in agriculture dramatically increasing access for American beef ethanol and virtually all the products produced by our great farmers said Trump from the Oval Office at the White House. The US President described the UK as one of the greatest allies of the US and said the country is right at the top – theyre the first one were talking about. (With Inputs From PTI)
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