US President Donald Trump has signalled that the United Kingdom has a chance to negotiate a trade deal that avoids new tariffs. In a joint press conference, Trump praised UK Prime Minister Keir Starmer’s efforts in the talks and expressed his willingness to reach a deal that would benefit both countries. Analysts see this as a temporary measure that at least delays any tariff action against the UK.
Trump’s friendly approach to the UK contrasts with his actions towards other trading partners. On the same day, he announced 25% tariffs on imports from Mexico and Canada and an additional 10% duty on China. Trump defended the move as an attempt to balance trade and protect the domestic economy, but analysts warned that it could increase costs for consumers and fuel inflation.
In other developments, Trump criticised the European Union (EU), claiming the bloc was set up to cheat the US on trade. While the EU has denied the allegations, tensions have been rising with concerns that the EU bloc could be the next target of tariffs. Starmer, on the other hand, has stressed the UK-US trade relationship is strong and fair and has sought to maintain good relations with Washington.
In addition to trade, the Trump-Starmer talks also covered Ukraine, with Trump stressing the need for a ceasefire and a long-term peace agreement between Kyiv and Moscow. While the US is pushing for talks, European allies fear it could force Ukraine to make territorial concessions to Russia. Britain, meanwhile, announced an increase in defence spending to 2.5% of GDP by 2027.
In a strategic move, Trump also signed an agreement with Ukrainian President Volodymyr Zelenskyy for the development of Ukraine’s natural resources, including rare earth minerals. The deal will see the US become a key partner in the development of Ukraine’s energy and natural resources sectors, while ensuring economic returns for Washington after military aid has been provided since 2022.
