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Tariff cuts kick in for aerospace and cars
Western Mail
|July 02, 2025
TARIFF cuts for the automotive and aerospace sectors have come into force after Sir Keir Starmer finalised parts of a deal for relief from US import taxes.
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Car manufacturers exporting to the US will face a 10% tariff quota, down from 27.5%, while the aerospace sector will see a 10% levy removed entirely.
Mr Starmer hailed the “historic trade deal” with the US, clinched after Donald Trump imposed the import taxes as part of his “liberation day” tariffs.
The Prime Minister and the US President finalised the deal for those sectors at the G7 summit, but levies on steel have been left standing at 25% rather than falling to zero as originally agreed.
Talks are ongoing to secure 0% tariffs on core steel products from the UK.
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