Washington: US President Donald Trump has agreed to lower tariffs on British autos from 25 percent to 10 percent by the end of June, after signing a UK-US trade deal with Keir Starmer on Monday. Trump signed the executive order to reduce tariffs on UK cars being shipped to the US, which will bring into force parts of a tariff pact agreed between the two countries last month.

According to Kuwait News Agency, speaking at the G7 summit in Canada, Prime Minister Sir Keir Starmer called the move a “very important day” for both countries. However, a 10 percent levy remains in place on most goods, including cars, arriving to American shores from the UK, and the removal of charges on steel imports is yet to be finalized.

The announcement on Monday comes after a series of talks have been held in recent months between the countries to reduce or remove tariffs on UK goods entering America. Under the terms of the signed deal agreed last month, the US said it would allow up to 100,000 cars into the US at a 10 percent ta
riff, instead of the 25 percent import tax imposed by Trump on all car imports earlier this year.

The executive order mentioned that the US would set up a similar system for steel and aluminum, but did not specify what it would be. The UK government stated it would “continue to go further and make progress towards 0 percent tariffs on core steel products as agreed.