President Donald Trump is expected to announce a long-anticipated trade deal with the United Kingdom on Thursday, marking a potential breakthrough in transatlantic relations amid rising global trade tensions triggered by his sweeping tariff regime.
The president teased the announcement in a post on Truth Social, promising a “MAJOR TRADE DEAL” at a press conference scheduled for 10 a.m. in the Oval Office. While Trump did not name the country, The New York Times has reported that the deal will be with the UK — a claim that has been echoed by UK officials.
“The first of many!!!” Trump wrote.
According to UK government sources, the agreement is expected to include lower tariff quotas on UK steel and autos, with reciprocal concessions from Britain on digital taxation and tariff reductions on American cars and agricultural goods.
The announcement comes at a key political moment for Prime Minister Keir Starmer, who is hoping to seal a trade pact with the US before unveiling his post-Brexit reset plan at an EU summit on 19 May.
The Financial Times reports that the draft deal would secure quotas for UK car and steel exports, as well as reductions in the 10% baseline tariffs the US imposed earlier this year. In return, Britain may ease its digital services tax and make modest concessions on agriculture and US-made vehicles.
Since launching his “Liberation Day” tariffs on April 2, Trump has rolled out or revised import duties ranging from 10% to 145%, affecting nearly every imported product category. While the UK was spared from additional tariffs — largely because it imports more from the US than it exports there — many feared it would still be caught in the crossfire.
Trump has temporarily suspended his harshest tariffs for 90 days, including levies on trading partners like Japan, South Korea, and the EU. But Britain is racing to secure a bespoke deal before that grace period ends.
“We have potential trade deals with India, South Korea, and Japan,” Trump said earlier this week. “We’re reviewing them now.”
Despite progress, Prime Minister Starmer has ruled out key US demands, including lower food safety standards and changes to online safety legislation, which some American lawmakers see as restrictions on free speech.
That refusal may mean the UK remains subject to the 10% baseline tariff — rather than receiving full exemption — but securing export-friendly quotas could provide substantial relief to British manufacturers.
Trump’s announcement comes ahead of high-stakes US-China trade talks scheduled for Saturday, where investors hope the two superpowers can begin to resolve their escalating economic dispute.
Trump has hinted at tariff exemptions for childcare products, such as car seats and diapers, amid rising pressure over skyrocketing costs for parents.
“I want to make it nice and simple,” Trump said. “I’m not looking to have so many exemptions that nobody knows what we’re doing… but I’ll take a look at it.”
With tariffs hitting consumers hard and businesses facing global supply chain strain, the UK deal may offer a rare moment of clarity — and relief — in what has otherwise been a turbulent chapter in global trade.
While details of the deal remain under wraps, financial markets are expected to respond swiftly once the formal announcement is made. Investors are watching closely for signals about how Washington plans to handle other pending trade negotiations, and whether this deal could set a precedent for other countries looking to navigate Trump’s increasingly protectionist agenda.
For now, the UK appears poised to be first in line for a trade deal, offering a strategic win for both sides — and a potential boost to a beleaguered British economy looking to reaffirm its global trading credentials post-Brexit.
Read more:
Trump set to announce major UK-US trade deal amid global tariff fallout