Labour is facing questions over its trade deal to exempt the UK from
Donald Trump
‘s
tariffs
with no date set for it to come into force a month after it was agreed.
Sir
Keir Starmer
and Mr Trump announced the broad terms of an agreement almost a month ago that would excise the UK from some of the US president’s punitive levies on steel and cars while increasing market access for other goods.
The Prime Minister hailed the announcement as a major achievement, saying the UK was the first nation to reach such an agreement with Mr Trump.
But almost four weeks on, Trade Secretary Jonathan Reynolds will meet US officials in Paris today to hammer out a timeline for change to actually happen.
The details are still being worked out ahead of a formal deal, and the Government hopes for an agreement within weeks.
That meeting comes amid uncertainty about the future of Mr Trump’s tariffs after a US court last week ruled many of them unlawful, before an appeals court reinstated the levies pending a further hearing.
Last week also saw Mr Trump announce that he would double tariffs on steel to 50 per cent, starting on Wednesday, and it remains unclear how the UK would be affected.
Andrew Griffith, the Conservative shadow business secretary, said: ‘Labour told the British public we had a deal with the US – but one month on there is no deal in sight, meaning British businesses and workers continue to suffer because of Labour’s failed negotiations.’
Mr Reynolds is expected to discuss implementing the deal during talks with US trade representative Jamieson Greer in Paris on Tuesday, where he is attending a meeting of the OECD.
Mr Reynolds’s visit to Paris is part of a three-day trip, during which he is expected to meet other trade ministers and attend a G7 ministerial meeting before heading to Brussels for meetings with his EU counterparts.
During the trip, the Trade Secretary will argue that the UK is a dependable partner in an era of increasing global volatility.
He said: ‘Our deals with the US, EU and India are proof that the UK is the most connected country in the world to do business. Along with our modern industrial strategy, our Plan for Change is making the UK a safe, stable bet in uncertain times.
‘We recognise our relationship with G7 allies and EU counterparts must continue to evolve and deliver a better trading environment for our businesses and exporters.
‘That’s why we want to wipe away costly, business-blocking barriers and open up opportunities to grow our economy, create jobs and put more money in people’s pockets.’
Meanwhile, the legality of the approach used for imposing the most sweeping of Trump’s tariffs has been cast into doubt.
Last Wednesday, the Court of International Trade ruled that Trump had overstepped his authority with tariffs devised under the International Emergency Economic Powers Act, including the ‘Liberation Day’ levies that his the UK.
Less than 24 hours later, an appeals court temporarily paused that decision. The tariffs at the center of the legal dispute are expected to remain in effect as the case plays out.
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