In Video: Trump’s UK trade deal announcement points to possible progress on negotiations with other countries
Trump Announces New Trade Deal with UK, Hints at Softening Tariffs with China
In a move aimed at calming global markets, President Trump announced a new trade deal with the United Kingdom (UK) and hinted at a possible softening of tariffs with China. The deal, which is still being finalized, aims to open up new market access for American exporters and reduce trade barriers between the two countries.
UK Deal Details
The deal, which was announced from the Oval Office, includes several key provisions. The UK will open up its markets to American agricultural products, including ethanol, beef, and machinery, which will add $5 billion of opportunity to American exporters. In return, the US will not impose new tariffs on UK imports. The deal also includes a provision allowing the UK to export cars to the US at a 10% tariff, instead of the 25% tariff currently in place.
China Talks
During the press briefing, Trump also hinted at a possible softening of tariffs with China. He stated that the tariffs in place are "too high" and that he expects to have a "very friendly meeting" with Chinese officials this weekend in Switzerland. Treasury Secretary Steven Mnuchin and US Trade Representative Robert Lighthizer will meet with their Chinese counterparts to discuss the ongoing trade dispute.
Market Reaction
The announcement of the UK deal and Trump’s comments on China sent stock markets higher, with the Dow Jones Industrial Average finishing the day in the green. Analysts say that the deal is a positive step forward for global trade, but that there is still much work to be done.
UK Perspective
The UK Trade Secretary, Liz Truss, welcomed the deal, stating that it will "improve trade and investment between our two countries." The UK’s opposition leader, Jeremy Corbyn, also praised the deal, saying that it will "boost trade and create jobs."
What’s Next?
The next steps for the deal will be finalizing the details and getting them signed by both countries. Trump stated that the deal is "very conclusive" and that he expects it to be completed soon. Meanwhile, the US and China will continue their trade talks, with the goal of reaching a deal that benefits both countries.
