- U.S. President Donald Trump and British Prime Minister Keir Starmer announced a new trade deal that will lower U.S. tariffs on cars imported from the United Kingdom.
- The revised deal will drop tariffs on British auto imports from 27.5 percent to 10 percent and completely remove any tariffs on British aluminum and steel.
- The new preliminary agreement is good news for British automakers, though current wording limits exports to 100,000 vehicles to the U.S. each year.
U.S. President Donald Trump and British Prime Minister Keir Starmer announced a new trade deal that lowers the 27.5 percent duty on vehicle imports, which have been in place since April 3. The deal lowers tariffs on auto imports from the U.K. to 10 percent—the same as other goods from the country—from the current rate.While British automakers likely view the new auto tariff rate of 10 percent as relief from the previous 27.5 percent levy, the new rate is still four times larger than it was before April 3. The huge levies had an immediate effect in April. Following their introduction, Jaguar Land Rover paused shipments of vehicles into the U.S. for a month but resumed them in May.Aston MartinLeaders from both countries still need to iron out final details for the new agreement, with the current wording limiting British automakers to exporting 100,000 vehicles to the United States each year at a 10 percent rate; anything beyond that figure will be subject to the full rate. The quota is nearly the total number of cars the U.K. exported to the United States last year. In addition to cutting the duty on imported cars, President Trump also agreed to completely remove tariffs on British aluminum and steel, potentially saving the U.K.’s steel industry. In April, the U.K. government seized control of British Steel to keep it from collapsing. More on TariffsJack Fitzgerald’s love for cars stems from his as yet unshakable addiction to Formula 1.
After a brief stint as a detailer for a local dealership group in college, he knew he needed a more permanent way to drive all the new cars he couldn’t afford and decided to pursue a career in auto writing. By hounding his college professors at the University of Wisconsin-Milwaukee, he was able to travel Wisconsin seeking out stories in the auto world before landing his dream job at Car and Driver. His new goal is to delay the inevitable demise of his 2010 Volkswagen Golf.
Source: caranddriver.com
