Trump announces UK-US trade deal on VE Day anniversary, cutting car tariffs and hailing ‘historic’ partnership

President Donald Trump has announced a new trade deal between the United States and the United Kingdom, achieving what he described as a “historic day” of the Atlantic alliance. The agreement, which was revealed on the eighties of the founding of Day, is the first major trade agreement since the president presented a comprehensive tariff for dozens of commercial partners earlier this year.

Speaking at a press conference at the Oval Office, Trump said the deal “will reconstitutically” will reshape the global trading system “and enhance economic relations between two of the world’s largest economies, even with the completion of the final details.

Prime Minister Kiir Starmer praised this announcement as a major diplomatic achievement, describing the agreement “an incredible platform for the future.” Starmer noticed the symbolic timing of the deal, as he agreed with the eighty anniversary of winning European Day, when Winston Churchill announced the end of World War II in Europe. The Prime Minister emphasized the deep alliance between the United Kingdom and the United States in defense, intelligence and now, increasingly in trade and technology.

“There is no country closer to the United States and the United Kingdom in areas such as the participation of defense and intelligence,” Starmer said. “Now, commercial and economic policy joined that list.”

The agreement includes provisions to reduce customs tariffs and expand bilateral trade in the main sectors. The United States has agreed to reduce the customs tariffs on cars in the UK to 10 %, while the UK will continue to purchase Boeing aircraft worth $ 10 billion. The deal also gives free access to the customs tariffs of Rolls-Royce Jet engines in the United Kingdom, and includes favorable terms for American export such as ethanol, beef and industrial machinery.

Howard Lootnick, a senior member of the American Trade negotiating team, described the UK as a “huge market” and said that the agreement will be worth 5 billion pounds to American companies. He said that the deal aims to reduce the red tape and simplify customs procedures.

Trump praised the negotiating teams on both sides and thanked Starmer for his partnership, and described the United Kingdom as “in the forefront” of America’s closest allies. He added that “many meetings” were planned with other countries in the coming weeks to expand the new framework.

The steel was also highlighted as a major part of the agreement. Trump said that the goal is to reduce restrictions and stimulate trade in this sector, adding: “We will become strong when trading in steel is not introduction.”

This announcement comes after months of fluctuations in the global markets after the announcement of the “Liberation Day” tariff in Trump. While the United States has since been delayed imposing the harshest mutual definitions until July, the foundation line is 10 % on imports and tax by 145 % on Chinese goods in place.

The UK was smoking the worst increases in customs tariffs because of its favorable trade balance with the United States, and the import of American goods more than its export.

Despite the optimistic tone, experts urged caution in explaining the agreement as a completely final commercial deal. “The deal appears more like a statement of intent and mitigating the customs tariffs instead of the significantly signed advertisement.”

“Industries such as steel, aluminum and car manufacture shows a narrow concentration of today – 59.3 billion pounds compared to 137.0 billion pounds in services,” he said.

Gleeson added that the volatile market conditions and uncertainty in the bond market may have helped bring “sensation and sensitivity” to the negotiating table, noting that the tone has turned from the strong discourse into a more constructive look.

The UK government said it is still committed to building on the agreement and creating a recent and balanced trade relationship with the United States. A government spokesman said: “This agreement enhances our strong economic and strategic partnership and sets the basis for the deeper cooperation in the coming years,” a government spokesman said.

As both countries advanced forward, the advertisement was widely seen as a timely reaffirmation of the “special relationship” between Britain and the United States – which could constitute a new chapter in world trade.