"US-UK Trade Deal Boosts Exports and Tariff Revenue under Secretary Lutnick"
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"US-UK Trade Deal Boosts Exports and Tariff Revenue under Secretary Lutnick"
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The deal is expected to generate $5 billion in new exporting opportunities for American companies and $6 billion in tariff revenue. Under the terms, Britain would be allowed to send 100,000 vehicles to the U.S. with a 10% tariff, with cars shipped beyond that number facing a 27.5% tariff. The UK has also agreed to purchase more American beef and ethanol products.
Lutnick, who has been serving as Commerce Secretary since February 2025, described the agreement as "the right kind of deal" during an interview on FOX Business' "Kudlow" on May 8. He emphasized that this is just the beginning, with more trade agreements expected in the coming weeks. "This is Donald Trump at his best creating the opportunity for someone like me to go out and make the deals that are the best for America," Lutnick stated. "We've got the cards, and we're going to play them incredibly, incredibly well."
The 63-year-old billionaire businessman also revealed that the administration is focused on working with larger countries for future deals, particularly mentioning interest in a big country from Asia. "We want to show people the structure of how it can be done," he said, adding, "I don't want to go fast. I want to do it correctly."
The UK trade deal comes after Lutnick teased on April 29 that the Trump administration had reached its first trade agreement but was waiting for approval from the unnamed country's leaders. That announcement caused the stock market to rise to its session highs, as Wall Street has been closely watching for signs of progress in trade negotiations.
Critics have questioned the effectiveness of the UK deal, noting that American importers will still face the same 10% tariffs as before. Former Republican Congressman Justin Amash criticized the agreement, saying, "We have some of the most economically illiterate people in the world in charge of trade policy."
In other recent news, Lutnick made controversial comments about Canada on May 6, referring to it as "a socialist regime that feeds off America." He expressed skepticism about making a trade deal with America's northern neighbor. Regarding China, Lutnick has maintained that while relations are currently in a "tough spot," he is "completely confident" that President Trump and President Xi will work things out in a "positive, thoughtful and effective way."