A US/UK trade deal faces barriers: CEI analysis
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Amidst the ongoing tariff drama, Vice President J.D. Vance said this week that the United States and the United Kingdom could strike a trade deal. But CEI’s Iain Murray points to some barriers in the way:
“A US-UK trade deal has the potential to set the new model for what President Trump wants from a trade deal. The two countries have a lot to offer each other, and a deal should lower trade barriers on both sides.
“However, as the US has a trade surplus with the UK, it is hard to see justification for the minimum tariff of ten percent that the President says he wants as reparation for other countries supposedly cheating the US. Moreover, the EU is making its own overtures to Britain, and simple gravity suggests they might prefer that deal over one that continues to impose tariffs, even though it would negate much of the point of Brexit.
“If the US and UK cannot reach a deal, that bodes ill for US exports to advanced countries, which are the ones that can afford US goods.”
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