According to the New York Times report on May 8, U.S. President Donald Trump and his officials held a press conference to announce the bilateral trade agreement recently reached with the UK. This is the first trade agreement completed under Trump's second term in office.

Details of the agreements

U.S. Secretary of Commerce Howard Lutnick stated that a minimum tariff of 10% on all exported goods remains in effect.

However, the U.S. will only impose a 10% tariff on the first 100,000 cars exported from the UK to the land of the flag, significantly reducing from the current tariff of 27.5%.

The UK government stated that the number of 100,000 cars is nearly equivalent to the total number of cars the UK exports to the U.S. annually. Cars are the main export item of the UK to the U.S.

In addition, the U.S. also completely exempts the 25% tariff on British steel. Rolls-Royce engines and aircraft parts will also be exempt from import duties into the U.S.

In return, a British airline will purchase a large batch of Boeing aircraft worth $10 billion.