US, UK reach 'breakthrough trade deal'
WASHINGTON
U.S. President Donald Trump on May 8 announced a breakthrough agreement with the U.K, the first such deal since he launched his global tariffs blitz.
"I'm thrilled to announce that we have reached a breakthrough trade deal with the United Kingdom," Trump told reporters during a White House gathering to announce the pact.
The deal affirms that “reciprocity and fairness is a vital principle of international trade” and increases access for U.S. agricultural products, Trump said, though he added that the final details were still being written up.
The president said that the agreement would lead to more beef and ethanol exports to the U.K., which would also streamline the processing of U.S. goods though customs.
U.K Prime Minister Keir Starmer, speaking over the phone to Trump, stressed the importance of the relationship between the two countries as the anniversary of the World War II victory in Europe was being commemorated.
“To be able to announce this great deal on the same deal 80 years forward, almost at the same hour and as we were 80 years ago with the U.K. and the U.S. standing side by side, I think is incredibly important,” Starmer said.
The planned deal was the first outlined since Trump began his stutter-step efforts to rewire the global economy by dramatically increasing import taxes in an attempt to increase domestic manufacturing. The Republican president quickly rolled out tariffs after returning to the White House, targeting traditional allies such as the U.K. with import taxes on steel, aluminum and autos. Trump announced near universal tariffs on April 2, then partially retreated a week later and announced that his administration would seek individual agreements with various countries over the next few months.
The U.S. already runs a trade surplus with the U.K., making it a bit easier to find common ground as Trump has staked his tariffs on specifically eliminating the annual trade deficits with multiple nations he says have taken advantage of the U.S.
No new deals have been reached with America's largest trading partners, including Canada, Mexico and China. Trump has left the highest tariffs in place on China, sparking a confrontation between the world's two biggest economies . Washington and Beijing are sending officials to Switzerland this weekend for an initial round of trade talks .
Trump promised on May 8 that there are "many other deals, which are in serious stages of negotiation, to follow!”
