U.S. President Donald Trump announced that a trade deal with the United Kingdom would be “broad and thorough,” with both nations expected to sign the agreement soon.
“The agreement with the U.K. is a broad and thorough one that will strengthen U.S.-U.K. ties for years,” Trump shared Thursday on his Truth Social platform. “Given our longstanding alliance, it’s a great honor to make the U.K. our FIRST announcement. Many more deals, which are in advanced stages, will follow!”
According to The New York Times, citing three sources familiar with the matter, the deal is indeed with Britain. Specific details were not yet available, but past U.S.-U.K. trade talks have focused on reducing tariffs on both sides.
It’s still unclear whether the deal is finalized or just a framework to guide further negotiations, the NYT reported.
This would be Trump’s first major trade deal since introducing reciprocal tariffs in early April. He later postponed raising those tariffs for 90 days, saying the move was aimed at encouraging other nations to come to the negotiating table.
Over the past month, Trump administration officials have been holding bilateral trade talks with several major economies. Despite that, Trump indicated earlier this week that he was not rushing to finalize any agreements.
Notably, the U.K. has not been subject to Trump’s reciprocal tariffs, as it imports more from the U.S. than it exports. However, it still faces a general 10% tariff along with steep sector-specific tariffs, such as a 25% duty on steel, aluminum, and cars.
The NYT reported that the Trump administration is not planning to drop the 10% tariff as part of this agreement.
“If there’s no progress on the U.S. baseline tariff, it could greatly limit the economic benefits from further negotiations,” JPMorgan economist Allan Monks wrote in a note to clients.
Meanwhile, the Trump administration is preparing to hold separate discussions with China. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer are set to meet with Chinese officials in Switzerland this weekend.
However, Trump has signaled he will maintain his steep tariffs of at least 145% on Chinese goods. Beijing, which has imposed 125% tariffs on U.S. imports, has said it’s willing to resume talks but won’t accept a deal if the U.S. uses the negotiations to justify continuing what China calls “coercion and blackmail.”
