Cars and beef part of new deal between the UK and the US
The US and the UK have announced a new ‘Economic Prosperity Deal’, which alters the tariff status of a number of products that the two countries trade. These include beef and cars.
In a statement, the UK department of business and trade explained that US beef exports to the UK are currently subject to a 20% tariff within a quota of 1,000 tonnes. Under the new deal, the UK will remove the 20% tariff and will create “a preferential duty-free quota” of 13,000 tonnes of US beef.
In return, the US will “reallocate to the UK” 13,000 tonnes of its ‘other countries’ tariff rate quota TRQ for beef. The TRQ allows for specific volumes of beef to enter the US at preferential tariffs.
Also as part of the Economic Prosperity Deal, the US will create an import quota of 100,000 vehicles from the UK that will have a 10% tariff rate. In announcements US president, Donald Trump, made on tariffs in March and April, vehicles made outside the US were subject to a tariff of 25%.
Image: Jaguar Land Rover.
