Trump Slashes UK Car Tariffs, Keeps Steel on the Table
What Just Happened?
Executive Order Alert: President Trump just signed off on a new trade pact that trims the U.S. duty on UK cars from 25% to 10%. The deal, born after a handshake at the G7 summit in Canada, opens the door for up to 100,000 British vehicles to hit American roads with a lighter tax bite.
Still a Few Bread Crumbs Left
- Steel & Aluminium: Those pesky tariffs remain on the menu. Trump promised more details soon, hinting that the full story will be revealed shortly.
- Aerospace Upsell: Levies on certain aerospace parts have been removed, giving a slight lift to the aviation sector.
- Free Trade? Not Yet: The deal is a stepping stone, not a full-blown free-trade agreement. Congress would still need to weigh in before any total waiver hits the ground.
Politics in the Fast Lane
Prime Minister Sir Keir Starmer dubbed the day “very important.” Trump praised Starmer for “getting what others couldn’t do in six years.” Meanwhile, UK business Secretary Jonathan Reynolds announced that beef and ethanol quotas will be fleshed out in Parliament soon, meaning the U.K. will welcome more U.S. beef imports while keeping food safety intact.
Opposition’s Take
Conservative Party leader Kemi Badenoch called the package a “tiny tariff deal” that falls far short of a comprehensive bargain. She’s pointing out that the agreement only scratches the surface of what was hoped for.
Industry Voices
Mark McCarthy, Chief Revenue Officer at Basware, weighed in on the ripple effect of tariffs on global trade. “Trade wars bring volatility, forcing companies to pause big IT spends while they reassess priorities,” he said. He highlighted how automation can slash invoicing time from 10 days to under four, helping keep suppliers happy and stamping out fraud.
Bottom Line
So, while car lovers get a sweeter price tag, steel manufacturers are still in the queue. The U.S. and the U.K. are moving forward, but the real bargain will hinge on future congressional action and a clearer path toward making steel tariffs zero.
