Trump in threat to keep 25% tariff on UK steel imports

Donald Trump is threatening to keep tariffs on some or all steel imports from the UK unless it gives specific guarantees over the Indian-owned steelmaking plant at Port Talbot in south Wales, sources have told the Guardian.

- Kiran Stacey

An agreement to reduce tariffs on car exports to the US and to scrap them for the aerospace sector was signed off by the US president and Keir Starmer on Monday on the sidelines of the G7 summit in Canada. However, it did not include the removal of tariffs on steel imports.

Officials are still negotiating over the fine points of a deal to cover the steel and aluminium industries amid US concerns about the fact that Tata Steel imports its raw materials.

Starmer told reporters in Banff, Canada: "There's further work to do in relation to steel, but we're getting on and doing that work."

Trump and Starmer announced the main terms of the trade agreement in May, with the prime minister calling it a "fantastic, historic day". According to that deal, tariffs on up to 100,000 British cars are due to be reduced to 10% from 27.5%.