The UK and United States have reached a limited trade agreement, confirmed during a live televised phone call between Prime Minister Sir Keir Starmer and President Donald Trump. It marks the first such deal since Trump began his second presidential term in January and introduced sweeping global tariffs in April.

The agreement delivers tariff cuts in select sectors. US import duties on UK cars will fall from 27.5% to 10%, capped at 100,000 vehicles per year—roughly the UK’s total exports last year. Starmer called it a “huge and important reduction,” despite the cap and ongoing duties.

Tariffs of 25% on UK steel and aluminium exports have been removed. Though these industries represent only around £700 million annually, the move carries political weight, particularly after the UK government took control of British Steel to prevent plant closures.

Agriculture proved contentious. While the UK upheld bans on chlorinated chicken and hormone-treated beef, it will allow £5 billion in US agricultural imports. In return, UK beef farmers gain exclusive access to the American market. US officials hailed the deal as a boost for their exports.

Other elements include streamlined customs procedures, preferential access for UK aerospace parts, and more support for US firms bidding on UK contracts.

Crucially, the 10% duty on most UK goods exported to the US remains in place—meaning much of the trading relationship remains unchanged.