Deal may boost US-UK ties while easing pressure on tech firms and manufacturing sectors
\n Washington
\nUS President Donald Trump has hinted at the announcement of a major trade deal with the United Kingdom, in what could mark the first concrete step towards easing tariff tensions that have rattled global markets.
\n\u201cBig News Conference tomorrow morning at 10:00 A.M., The Oval Office, concerning a MAJOR TRADE DEAL WITH REPRESENTATIVES OF A BIG, AND HIGHLY RESPECTED, COUNTRY,\u201d Trump wrote on Truth Social late Wednesday.
\nThough he did not name the country, a source familiar with the matter confirmed it is the United Kingdom.
\nIf confirmed, the deal would represent a rare breakthrough after months of global uncertainty caused by Trump\u2019s tariff-heavy trade policies.
\nThe Financial Times reported that the deal could see the UK exempted from certain non-tariff trade barriers, such as its 2% digital services tax on US tech firms. In exchange, the US may ease 25% tariffs on British aluminium, steel and autos.
\nPeter Navarro, Trump\u2019s top trade adviser, told that the UK was among the most likely candidates for a first agreement, alongside India, South Korea and Japan. \u201cWe\u2019ve got a little twist in the India story,\u201d Navarro said, hinting at delays there, \u201cbut there will be deals.\u201d
\nDespite the promise, trade analysts remain sceptical. Jacob Jensen, a trade policy expert at the American Action Forum, said any agreement announced Thursday is likely to be a memorandum of understanding, rather than a full treaty.
\n\u201cDeals that carry real economic weight typically take months, even years, to finalise,\u201d he said.
\nProvisional terms are likely to offer short-term relief from some tariffs but fall short of a comprehensive trade pact. The Trump administration has said it is in talks with more than a dozen nations but has yet to sign any binding agreements.
\nIn recent weeks, Trump has signalled willingness to reimpose tariffs if talks falter. \u201cThere won\u2019t be another extension,\u201d he warned last month, referring to the 90-day tariff pause introduced in early April.
\nMeanwhile, signs of diplomatic thaw have emerged on other fronts. Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer are expected to meet Chinese officials in Geneva this week.
\nWhile not expected to yield a major breakthrough, the meetings could lower tensions.
\nWashington currently imposes tariffs of at least 145% on most Chinese goods, while China maintains 125% duties on American exports.
\nTrump has so far refused to lower tariffs as a precondition for talks with Beijing, potentially stalling negotiations.
\nThe global economic toll has been steep. The US economy contracted in Q1 2025 \u2014 its first quarterly decline in three years \u2014 as businesses stocked up in anticipation of Trump\u2019s \u201cLiberation Day\u201d tariffs.
\nEconomists at the IMF, OECD, and World Bank have all warned that prolonged tariff wars could drag down global growth and reignite inflation.
\nDespite securing the USMCA trade deal during his previous term, Trump later reversed course, reimposing tariffs on Mexican and Canadian goods.
\nAnalysts warn that similar reversals could follow any new deal, adding to global uncertainty.
\nStill, any sign of easing trade restrictions may bring relief to businesses and consumers facing rising costs. As talks continue, Thursday\u2019s announcement is expected to be closely watched by markets and allies alike.<\/p>\n","protected":false},"excerpt":{"rendered":"
Deal may boost US-UK ties while easing pressure on tech firms and manufacturing sectors Washington US President Donald Trump has hinted at the announcement of a major trade deal with the United Kingdom, in what could mark the first concrete step towards easing tariff tensions that have rattled global markets. \u201cBig News Conference tomorrow morning […]<\/p>\n","protected":false},"author":2,"featured_media":477248,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"class_list":["post-477238","post","type-post","status-publish","format-standard","has-post-thumbnail","category-world"],"yoast_head":"\n