Bottom's Up: Trump and Starmer Toast First Major Trade Agreement!
Trump and Starmer commemorate their initial major tariff agreement
The Big Kahuna:
This ain't no small potatoes deal, y'all. US Prez Trump has finally scored his first significant trade pact since his infamous tariff binge in April. The UK's on board, baby! The world-renowned Boeing aircraft will roll into Blighty, while the US will warmly welcome Rolls-Royce aircraft parts with open arms. Remind me, who said the entire planet doesn't fancy deals with the land of the free?
Trump remixes his Tariff Tango:
Trump declared the agreement a big win for his tariff policy. "This is a very big deal," Trump exclaimed, still glimmers of hope flickering for an EU agreement despite Brussels' growling over potential counter-tariffs valued at nearly $100 billion.
Starmer's PlayOptimal Strategy:
Between British Prime Minister Keir Starmer and a brick wall, Keir prefers the latter less, it seems. The UK's new leader may just be smile-emoji'ing his way to a prosperous future, sidestepping confrontations with nations like the US. "This is a truly fantastic, historic day," Starmer chirped during that press conference, sounding just as chipper as a bowl of Lucky Charms.
A Comprehensive(ish) Compact:
Trump boasted the deal as "comprehensive," but folks from Her Majesty's Government politely clarified otherwise. The agreement, they stated, was more of a foundation for future negotiations rather than a full-fledged free-trade agreement.
TEST DRIVING DEALS:
The UK, shush-shushh, has only faced import taxes of 10% on most exports, save for a handful of sectors such as steel and cars, which have suffered under Trump's unforgiving 25% tariffs. But those numbers are about to change! A quota of 100,000 trucks will waltz over America's borders for a modest 10% import tax, thanks to good bud Howard Lutnick, US Trade Minister. Additionally, Rolls-Royce aircraft components will now be welcomed duty-free. Britain, in return, will greet Boeing aircraft worth around $10 billion, almost $9 billion according to the Last Boats currency conversion. To make an even sweeter deal, the UK will lower its tariffs on American goods from 5.1% to 1.8%, leaving US steel and aluminum tariffs at zero.
BUCKETS OF CASH:
Landmark trade between these powers raked in about $370 billion last year. However, 70% of the UK's exports to the US consisted of services, which are charmingly tariff-free, leaving 30% for real, live goods.
Back-to-back Deals:
This ain't just a one-time fling for Starmer. On a Tuesday according to some rumors, the Brit and the Indian Prime Minister, Narendra Modi, shook hands on a comprehensive agreement that aims to boost bilateral trade by an additional £25.5 billion, or about $30 billion, by 2040. For the UK, it's the most substantial trade deal since exiting the EU.
STARMER STAND-OFF:
Starmer's riding a tight-rope, juggling a waning Labor Party, facing the backlash of a plummeting government, pretty much like a fish out of water. Local elections cut a deep gash in his popularity, just like that first awkward date. And it's not just Keir feeling the burn; Trump's taking a tumble due to his economic policies, too.
FOND-FAREWELL THREAT:
The EU's waving their well-manicured fingers, warning Trump of blanket tariffs of 25% if no agreement materializes by July. Hoping to dance around the dance floor, Brussels made a proposition to jointly eliminate tariffs on industrial goods; however, the Trump-administration's stayed as silent as a mime.
TARIFFS ODYSSEY:
The EU's offering a lifejacket to Trump's sinking economy with their proposal. The list, longer than War and Peace, outlines potential countersent on US exports worth up to $113 billion, stretching from industrial and agricultural products like cars, sweet potatoes, and whiskey. Now, if only the economy would read that list, there might be an earthquake of pressure on the White House to negotiate with Brussels!
WAR OF THE WTO:
In a move reminiscent of a gudpa (turban clad) Jat style wrestling match, the EU's planning to sue Trump at the WTO if negotiations go south. If that fails, the EU's ready to slap export restrictions on certain goods worth $5.7 billion, a move as sharp as a Kukri knife!
FRIEND OF MY FRIEND:
The trade agreement with the US represents a symbolic triumph for Starmer. Meanwhile, the UK's in negotiations with EU Commission President Ursula von der Leyen and EU Council President António Costa in London. The task at hand? Forging a deal with the EU, a challenge as daunting as conquering Mount Everest.
LET'S GET IT ON:
The UK's earned a rep for being sensitive about one thing: food standards. There's been a swirl of rumors that the UK might lower food standards, going against popular demand. Rest easy there, folks, it's not gonna be chlorinated chicken or hormone-treated beef in your local markets, the British government guarantees it!
- Trade Deal
- USA-UK
- Trump
- Starmer
- EU
- Tariffs
- The trade agreement between the USA and UK, announced by President Trump and Prime Minister Starmer, includes new provisions on employment policies, as shown in the tariff reductions on American goods from 5.1% to 1.8%.
- In the wake of this trade deal, there are ongoing discussions about potential counter-tariffs from the EU, which could impact employment policies in various sectors, such as cars and steel, where tariffs have been high.
- The EU's proposal to jointly eliminate tariffs on industrial goods is being met with mixed responses, and the uncertainty surrounding employment policies in these sectors could be significant.
- The ongoing negotiations between the UK and the EU, particularly concerning food standards, could also impact the future of employment policies, as there are rumors that the UK might lower its food standards in order to facilitate trade.
