President Donald Trump hailed what he called a historic trade agreement with Britain on Thursday — even as he said its details would be finalized in the coming weeks.

Trump, speaking from the Oval Office with Prime Minister Keir Starmer of Britain on speakerphone, said it would include billions of dollars of increased market access for American exports, including beef, ethanol and other farm products. Trump called it a “great deal for both countries.”

Key Tariff Adjustments and Concessions

The agreement will leave in place a 10% tariff that Trump imposed on Britain and other nations globally at the beginning of April. But it will pare back other tariffs Trump imposed on British steel, aluminum and automobiles. In return, the British will open up access to beef, poultry, ethanol, soft drinks, cereal and other products.

Commerce Secretary Howard Lutnick indicated that one of the concessions given by the United States was to lower a 25% tariff on British cars to 10%. “He agreed they could send 100,000 cars into America and only pay a 10% tariff, and that protects their car industry,” Lutnick said. He said Rolls-Royce engines and plane parts will also come over tariff-free, while the United Kingdom will buy $10 billion of Boeing airplanes.

Long-Standing Interest and Political Implications

Although Trump officials framed the deal as a result of the aggressive tariffs Trump imposed around the world, there has been long-standing interest in an agreement. Trump discussed the possibility of a trade deal with Britain in his first term, while British officials have eyed an agreement with the United States since Brexit as a way to offset reduced trade with Europe.

Starmer called it a “really fantastic historic day” and praised Trump and his negotiating team. Both leaders referenced the long relationship between the two countries, with Starmer pointing out that Thursday was the 80th anniversary of Winston Churchill announcing victory in Europe in World War II, invoking one of Trump’s favorite historical figures.

Here’s What to Know:

— Trade balance: Britain was the United States’ 11th biggest trading partner in the first quarter of this year. The two nations have relatively balanced trade: The United States sent $80 billion of machinery, airplanes, natural gas, crude oil and other products to Britain in 2024, while it bought $68 billion of cars, pharmaceuticals and other goods in return.

— Courting Trump: A trade deal would provide Starmer a much-needed political victory, as well as vindication of his strategy of assiduously cultivating a relationship with Trump.

— Separate Ukraine agreement: Trump also announced that the United States and Ukraine had fully ratified their minerals deal. He said he would be speaking with President Volodymyr Zelenskyy of Ukraine later in the day.

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This article originally appeared in The New York Times.

By Ana Swanson/Eric Lee
c. 2025 The New York Times Company