United States-United Kingdom trade negotiations progressing favorably, indicates White House representative Karoline Leavitt
The UK-US trade discussions are indicating a hopeful trajectory, as per the White House. During a press briefing, President Donald Trump's press secretary, Karoline Leavitt, shared optimism about the chances of this long-awaited agreement.
In Westminster, there's anticipation that such a deal could soften the impact of the tariffs Trump announced recently. Leavitt shared her insights, stating, "The trade talks with the UK appear to be moving in a very positive way." She continued, "I've heard they have been very productive and positive with the UK."
Chancellor of the Duchy of Lancaster, Pat McFadden, shared the UK's stance on the talks during an interview. He mentioned that "a serious level of engagement is happening," aimed at securing a UK-US trade deal. McFadden, a key ally of Prime Minister Keir Starmer, cautiously added, "I think an agreement is possible, but I don't want to say it's certain."
While there's progress, key uncertainties remain, particularly around tariffs and alignment. The US' proposed reciprocal tariffs could increase UK exports to the US by making them relatively cheaper, potentially attracting foreign investment. However, prolonged tariffs might cause supply chain issues, especially in pharmaceuticals.
Structural concerns persist, such as the possibility of the UK being pressured to lower food safety regulations to align with US norms. Additionally, Trump could insist the UK aligns US tariff policies on third parties, potentially fracturing UK-EU trade ties. Outcomes hinge on whether tariffs are permanent revenue tools or negotiation tactics. A limited deal focused on reducing UK tariffs on specific US goods might emerge, but a comprehensive agreement could pull the UK into a competing tariff bloc against the EU.
[1] https://www.bloombergquint.com/onweb/opinion/united-kingdom-wouldnt-sell-its-soul-for-a-us-trade-deal[2] https://www.bbc.com/news/uk-politics-61427469[3] https://www.ft.com/content/d04e7524-46fa-46eb-a8e9-c605f29a80b6[4] https://www.politico.eu/article/us-uk-trade-talks-putin-delegation-keir-starmer-joe-biden/[5] https://www.reuters.com/business/us-business/uk-and-us-edge-closer-trade-deal-easing-tensions-over-tariffs-2023-04-01/
- The likelihood of a UK-US trade agreement could have a significant impact on Westminster's policy-and-legislation, especially regarding tariffs and the settings of trade with third parties.
- Karoline Leavitt's optimistic statements about the UK-US trade talks hint at some respite from the tariffs President Trump recently announced.
- General news outlets are closely monitoring the progress of the policy-and-legislation between the US and the UK, given the potential consequences for the UK's food safety regulations and trade ties with the EU.
- Politics surrounding the tariffs and the general direction of the UK's trade policy could influence the general news landscape, as the discussions between the UK and US unfold.
