Overview

• President Donald Trump will hold an Oval Office press conference on May 8 to unveil a trade agreement with the United Kingdom.
• The deal reduces 25% US tariffs on British automotive and steel exports, while maintaining reciprocal 10% tariffs on other goods.
• In exchange, the UK will lower tariffs on US cars and certain agricultural products but will uphold strict food safety standards, including a ban on chlorinated chicken.
• Prime Minister Keir Starmer has agreed to reduce the UK’s 2% digital services tax on large tech companies, a move that has drawn criticism from some within his party.
• The agreement reflects the Trump administration’s strategy of leveraging tariffs to secure bespoke bilateral trade deals outside traditional multilateral frameworks.