A trade agreement between the UK and US has been struck, reducing tariffs for exports of British-made cars to America, but there’s a catch – there’s a limit to the number of cars that can be exported before the original tariff is reimposed, stifling the growth of UK carmakers.
In February, President Donald Trump announced sweeping 25 per cent tariffs on foreign-made cars being imported into the US. This caused ructions throughout the UK car industry as America is one of its largest export markets and both Jaguar-Land Rover (JLR) and Aston Martin paused US exports in response.
Now, a deal has been struck between the two nations to reduce tariffs to 10 per cent for the first 100,000 cars exported from the UK to the US each year. Anything over that number will probably incur the 25 per cent tariff originally imposed by the President.
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