President Donald Trump is expected to unveil a landmark trade agreement with the United Kingdom on Thursday, in what could mark a rare diplomatic win amid global economic uncertainty driven by the administration’s aggressive tariff policies.
Trump hinted at the impending deal in a post on his Truth Social platform, calling it a “MAJOR TRADE DEAL” and promising further details during a press conference scheduled for 10 a.m. in the Oval Office. While the president did not confirm the UK as the partner, British officials and several major outlets — including The New York Times — have confirmed the two countries are set to finalize the agreement.
“The first of many!!!” Trump wrote, suggesting more trade deals could follow.
According to UK government sources, the deal includes reductions in U.S. tariffs on British steel and autos. In exchange, the UK has reportedly agreed to ease its digital services tax and reduce import duties on American agricultural goods and cars. The arrangement could offer substantial relief for UK manufacturers, especially in the automotive and steel sectors, which have struggled under heightened global trade pressures.
The deal arrives at a critical time for UK Prime Minister Keir Starmer, who is preparing to present his post-Brexit economic strategy at a European Union summit on May 19. Securing a bilateral agreement with Washington could boost Starmer’s standing at home and abroad as he seeks to chart a new course for Britain outside the EU.
The announcement also follows Trump’s introduction of sweeping tariffs under his so-called “Liberation Day” trade initiative. Since April 2, the administration has imposed or revised import duties between 10% and 145% on a wide range of goods. Although the UK avoided the most severe penalties, the threat of future tariffs had raised concern among British officials.
Trump has temporarily suspended the harshest tariffs for 90 days, giving countries like Japan, South Korea, and the UK a limited window to negotiate individualized deals.
While the UK has rejected some U.S. demands — such as lower food safety standards and looser internet regulations — it appears to have secured enough concessions to move forward with the agreement. Though Britain may still face a 10% baseline tariff, the inclusion of favorable export quotas could mitigate the impact.
Trump’s announcement comes just days before U.S.-China trade talks resume, as investors watch for signs of de-escalation between the two largest economies. The president also signaled possible tariff relief for childcare products amid domestic concerns over rising consumer costs.
With details of the UK deal still to be revealed, financial markets are expected to respond swiftly to the announcement, which could serve as a bellwether for future U.S. trade negotiations.
