British premier hails new US-UK trade deal as 'incredible platform for future'

By Aysu Bicer

LONDON (AA) - UK Prime Minister Keir Starmer and US President Donald Trump on Thursday announced a sweeping new trade and economic agreement between the UK and the US, marking what Starmer called “a fantastic, historic day.”

Speaking via phone from the UK to the Oval Office, Starmer said: “The timing of this could not be more apt – on the 80th anniversary of VE (Victory in Europe) Day.”

Reflecting on the past, he said: “At that time the UK and the US were the closest of allies,” and added, “Churchill announced victory in Europe at almost exactly this time of day 80 years ago.”

Starmer praised the depth of the modern US-UK alliance, saying: “There are no two countries closer than the US and the UK in defense and intelligence sharing,” and pointed out that now “trade and economic policy have been added to the areas where they are close to each other.”

On the growing strength of both nations’ tech industries, Starmer said: “The UK and the US are the only countries with $1 trillion tech sectors.”

Calling the new agreement “an incredible platform for the future,” Starmer also took time to recognize the efforts behind the deal.

“It’s a real tribute to the history that we have of working so closely together,” he said, adding: “Trump’s negotiating team have done an incredible job.”

Trump, who introduced Starmer during the joint announcement, confirmed that steel is “a big factor in this deal that will make both countries stronger.”

He also revealed that “American chemicals and machinery have been added to the deal.”

While some final technical details are still being worked out, Trump stated that the core agreement is settled: “The actual deal is a conclusive one.”

He framed the deal as more than a trade pact, saying it would bring the UK into “economic security alignment with the US,” which he described as a “big economic security blanket.”

Currently, most UK goods imported into the US face tariffs of around 10%, with even higher duties applied to cars, steel, and aluminum.

Conversely, the UK imposes tariffs on a range of American products and levies a digital services tax that has long been a sticking point for US tech firms.

The new deal is expected to include mutual tariff reductions -- particularly for automobiles -- and could ease tensions around the UK's digital tax on US technology companies.