UK–US Trade Deal Boosts Exports

A landmark trade agreement between the UK and United States has been finalised, delivering major tariff reductions and opening new opportunities for exporters and logistics providers. This is the second major deal announced this week, following the UK-India Free Trade Agreement.

What’s in the deal?

The agreement significantly reduces or removes tariffs on a range of UK exports, helping to protect jobs and create more certainty for British businesses.

Key highlights include:

• Automotive Sector: Tariffs on UK car exports to the US will drop from 27.5% to 10%. This change will apply to a quota of 100,000 vehicles, roughly the entire number of cars the UK exported to the US last year. Jaguar Land Rover alone stands to save hundreds of millions of pounds annually.

• Steel Industry: The previous 25% tariff on UK steel has been reduced to zero, enabling UK steelmakers to resume transatlantic exports. This is a vital win for a sector that was recently facing severe economic pressures.

• Agriculture & Manufacturing: UK farmers will gain access to a 13,000-tonne quota for beef exports to the US, while tariffs on US ethanol, a key input in UK manufacturing, will also be eliminated.

What this means for logistics

These changes are expected to drive increased trade volumes between the UK and US, creating new opportunities across the supply chain. With more global trade deals reportedly in progress, including further agreements in the Asia-Pacific region, UK firms are well-positioned to benefit from a more open and dynamic trading landscape.

We’ll continue to provide updates as these changes roll out.