We've been getting more reaction to yesterday's announcement of a agreement over tariffs on some goods traded between the countries, so let's bring you up-to-date with the latest.

What is the deal?

Simply put this is a tariff agreement that amends the levies the president placed earlier this year:

• Tariffs on cars exported to the US will be reduced from 27.5% to 10% - this will apply to a quota of 100,000 UK cars, almost the total the UK exported last year
• The 25% tariffs on UK steel and aluminium imported by the US are to be scrapped
• For agriculture, there will be "reciprocal market access" on beef which means that UK farmers will be given a quota for 13,000 metric tonnes of beef to be exported to the US, and the US granted the same
• A secure supply chain for pharmaceutical products will also be created, with final details to be written up in the coming weeks
• The US will have preferential access to high-quality UK aerospace components

Aside from this, the reciprocal tariff rate of 10% on the UK, which was announced in March, remains in place.

However, it’s important to remember that nothing is finalised. There are still months of negotiations and legal paperwork ahead.

What reaction has there been this morning?

Chancellor Rachel Reeves described it as a “good deal” and Treasury Minister Darren Jones said that 150,000 jobs had been "protected" but that the government would “continue to negotiate in other sectors”.

Shadow trade secretary Andrew Griffith accepted that there are some “good elements” to the deal but said “overall it’s quite disappointing,” adding that a more “comprehensive” agreement is needed to grow the UK economy.

British Airways' parent company announced it had bought 32 new Boeing planes from the US alongside 21 from European manufacturer Airbus

Liam Bates, from stainless steel manufacturer Marcegaglia, said the announcement was “very significant”, but adds that it would “be good to get more clarity”

Farmers have also had a mixed reaction to the deal, with one Surrey beef farmer sharing his concerns that “US [beef imports] could be of lower quality”

We're closing this page for now, but you can read analysis from our political editor Chris Mason and political correspondent Damian Grammaticas' and more about the deal here: US-UK agree deal slashing Trump tariffs on cars and metals.

Image source, Getty Images

As well as signing a trade agreement with the UK and starting talks with China, Donald Trump has been teasing that more deals might be on the horizon.

Yesterday, the US president said that he hopes to meet the "fantastic" European Commission President Ursula von der Leyen for trade talks - and suggested that the EU wanted to make a deal "very badly".

But, facing the prospect of a 20% tariff on imports to the US from the EU, von der Leyen said today that she won't visit the White House unless an agreement to cut rates is lined up.

"If I go to the White House, I want to have a package we can discuss," Reuters reports the EU Commission told reporters today.

"It has to be concrete and I want to have a solution that we both agree on."

David Waddell
Senior business reporter

Who has the upper hand in the upcoming trade talks between the United States and China, the two most prominent players in President Trump’s trade war?

No-one wants to blink first. But Professor Henry Gao, a US-China specialist from Singapore Management University, told Business Today that "in the short-term China might be able to stand the [trade war] pressure better because of the nature of the regime."

But, he added: "In the long-term, the US may be more resilient... China may want to reach some sort of deal with the US sooner rather than later."

As we've been reporting, both Trump and Starmer have described the US-UK trade deal as "historic".

However, economists have now weighed in on the situation saying that, though the lack of concessions on the UK side could be viewed as a success, the deal is unlikely to boost Britain's economy much.

Ben Caswell, senior economist for The National Institute of Economic and Social Research (NEISR), described the new trade deal as a "political win for the Government" but warned that the direct impacts on UK GDP "are likely to be very small" due to the fact that the vast majority of goods won't benefit from this tariff relief announcement.

Others, meanwhile, have said the lack of significant concessions demanded of the UK by Washington was a plus.

The UK's digital services tax - which mainly applies to US tech companies - was not revised as part of the deal, as had been speculated. Nor does it include any concessions on the Online Safety Act or the NHS, the Business Secretary has said.

And, according to economists at the banking giant ING, that means the US deal also won't jeopardise British attempts to build closer trade ties with the European Union.

In a note written on Thursday evening, ING said: "As far as we can see, the concessions offered by the UK aren't considerable. At face value, the UK seems to have done quite well."

Image source, UK Pool

We've just been hearing from Chancellor Rachel Reeves, who's visiting a car battery gigafactory in Sunderland.

While on site, she is briefly asked about the US-UK trade agreement, which she describes as a "good deal".

In particular, Reeves picks out the car manufacturing sector, life sciences and the steel industry as likely to benefit from the new terms on tariffs.

"When working people face a challenge, this isn't a government that just steps back," she says. "We work with business, we work with trade unions, to protect jobs... and bring investment into Britain."

Image source, Getty Images

As US and Chinese officials prepare for trade talks over the weekend in Switzerland, the day is just starting in Washington, where Trump is posting on his Truth Social platform.

"CHINA SHOULD OPEN UP ITS MARKET TO USA," he posted just before 07:30 local time. "CLOSED MARKETS DON’T WORK ANYMORE!!!"

For context, the White House has levied new tariffs of up to 145% on Chinese goods since Trump returned to power.

Those tariffs are likely to be a focal point for talks in Switzerland. The meeting is the strongest signal yet the two sides are ready to deescalate a trade war that's sent shockwaves through financial markets.

Remember, Trump has already hinted tariffs on China could be rolled back, telling reporters yesterday "we know it's coming down".

"80% Tariff on China seems right!" he wrote in a follow-up post. "Up to Scott B" – a reference to US treasury secretary Scott Bessent, who is leading those talks with Beijing.

If we zoom out to look at the broader UK-US trading relationship, it is not clear how much this tariff deal will support the British economy.

Though detail is scant, the agreement appears to focus on reducing trade barriers on tangible goods like cars, aluminium and steel.

However, two-thirds of British exports to the US are services - the likes of banking, insurance and advertising - which weren't subject to Trump's tariffs in the first place.

The UK exported £137 billion in services to the US last year, according to the Office for National Statistics (ONS).

According to a recent survey released by the ONS shortly before the trade agreement was announced, around three in five British businesses reported they expected the US tariffs would have "no impact on their business in the next month".

As part of the US-UK trade deal, a 20% tariff on US exports of beef to the UK has been scrapped - in return for a similar export arrangement for UK farmers.

But, food standards in the UK that ban imports of hormone-treated beef or chlorinated chicken (which is common in the US) will remain in place despite the deal, according to officials.

In the White House, our colleague Tom Bateman asked Donald Trump about this - you can see the president's response below:

Official data from China shows the country's exports rose faster than expected in April, despite the tariff war with the United States.

Analysts say the rise of just over 8% indicates China is successfully rerouting trade through other countries as month-on-month exports to the US fell by 17%.

Since returning to the White House, President Donald Trump has imposed new import taxes on Chinese goods of up to 145%, while Beijing has hit back with levies on some goods from the US of 125%.

Boeing sales suffer in China due to Trump's trade warpublished at 11:19 British Summer Time 9 May

11:19 BST 9 May

Jonathan Josephs
BBC business reporter

Image source, Getty Images

At yesterday’s Oval Office announcement of a US-UK trade agreement US Commerce Secretary Howard Lutnick teased a $10bn purchase of new planes from the UK.

We now know that the buyer of 32 Boeing planes is British Airway’s parent IAG as they reported their latest financial results this morning – a natural place for disclosing major expenditure like this.

The significance for the US, though, is that Boeing is the United States' largest exporter, about 70% of its commercial aircraft sales are outside the US.

Those sales are already suffering – in China in particular - because of President Trump’s trade war. It’s one of the world’s fastest growing aviation markets but Boeing is reported to have taken back planes after Beijing told Chinese airlines not to accept them.

Building those planes supports tens of thousands of manufacturing jobs across the United States.

And for President Trump, IAG’s order will be seen as a big win because those are exactly the sort of jobs he wants to see more of in the US.

We've just been looking through the trade agreement, which has been dubbed an Economic Prosperity Deal (EPD).

Importantly, the document stresses that it is not "a legally binding agreement".

This means that its terms will be used to draw up specific arrangements, but do not immediately set or change tariff rates.

With that in mind, the EPD's general terms set out three objectives that will be referred to when drawing up the trade deal in full:

• Grow the quality and volume of trade between the US and UK
• Remove barriers to make it easier for businesses to operate, invest and trade in both countries
• Ensure the so-called "special relationship" is rooted in an "enduring economic partnership" that is fair and reciprocal

We've recapped some of the specific terms of the deal - you can find those in our earlier post.

Health of global economy rests on US-China trade relationshippublished at 10:43 British Summer Time 9 May

10:43 BST 9 May

David Waddell
Senior business reporter

The Bank of England Governor Andrew Bailey says the global economic environment is likely to continue to be challenging - and less predictable - than it was in the past.

He’s been speaking at the Reykjavik Economic Conference in Iceland. Yesterday he welcomed the tariff pact struck between the US and the UK, but his later comments acknowledge that the path ahead remains difficult.

The wider global context is important.

Today in Switzerland, officials from the United States and China begin their own trade talks, with US Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer due to meet Chinese Vice Premier He Lifeng over the weekend.

Tensions have been high between the two economic superpowers since President Trump’s first term in office, and the trade conflict has only become more intense since Trump’s recent inauguration.

All eyes will be on how this relationship develops.

Henry Curr, Economics Editor of The Economist, told Business Today that “almost more important in the short term is what happens to the US-China relationship... it is that relationship that is driving the global economic outlook".

While the UK has taken steps to mitigate the challenges in its US relationship, the health of global economy depends on a successful trade relationship between the world’s biggest global players.

Image source, Getty Images

Damian Grammaticas
Political correspondent

Image source, Downing Street

In Downing Street they are feeling pretty good this morning.

At this time exactly a week ago, as local election results rolled in and Labour losses were mounting, the talk was all about a government failing to deliver results in areas voters cared about.

Now it has a trade deal with India, and one with the US too, all secured in just a couple of days. Deals, it believes, come with tangible benefits and few downsides.

“It shows what can be done when there is serious, focussed, sleeves-up government,” one Downing Street source said to me this morning.

The Conservatives meanwhile have been undercut. They don’t oppose deals with the US, or India, after all they hoped to do them when in office.

So, it shows up where they failed. Which means they are left trying to find elements of the agreements they can pick apart.

Shadow trade secretary Andrew Griffith said this morning that “over the course of the last couple of months British businesses are facing more difficulty accessing the US market at higher cost than they were before”.

“Nonsense,” a Downing Street source messaged me almost immediately. The US has, they said, cut tariffs in some areas and negotiations continue over others.

Vishala Sri-Pathma
Business reporter

Image source, Reuters

Investors on Thursday were digesting the news of a US-UK tariff deal as well as the much anticipated interest rate cut by the Bank of England.

The FTSE 100 has opened Friday’s trading in positive territory reflecting what analysts describe as a lift in sentiment in the City.

British companies that stand to directly benefit from the deal, saw their share prices surge on the news.

Rolls-Royce and Aston Martin shares jumped as details emerged, with the agreement giving them easier access to US markets.

Rolls, a major manufacturer of jet engines, was one of the biggest risers on the FTSE 100 on Thursday. Howard Lutnick, the US commerce secretary, said the aerospace company’s engines and plane parts would not be subject to tariffs.

Luxury carmaker Aston Martin, which gets more than one third of its revenue from the US also saw its stock jump.

A week ago, it had warned investors that it was limiting exports to the US as a result of Trump’s trade war.

Image source, Reuters

We're hearing more from Chief Secretary to the Treasury Darren Jones now, who said earlier that 150,000 jobs had been "protected" due the US-UK trade deal.

Speaking to BBC Radio 4's Today programme this morning, Jones said he could "understand" why families affected by the "punitive tariffs" imposed by President Trump might feel angry.

He stressed that the US president's approach to global trade is just "one of a number of moving parts".

Asked whether the UK government should be more upfront with Trump, like Canada's Mark Carney and Australia's Anthony Albanese have been, Jones responded: "We have to deal with the world as we find it not as we would like it to be."

"You’ve just got to roll up your sleeves and get on with it." He added. "Would I like a world where there’s peace and no tariffs, of course I would, but that’s not the world that we live in."

Image source, EPA

We've just seen pictures of Prime Minister Keir Starmer, who is on a visit to Norway this morning for a summit of north European leaders - known as the Joint Expeditionary Force.

They will primarily be discussing action taken against Russia as the war in Ukraine continues.

We'll bring you any lines on the UK-US trade agreement as we get them, should it be addressed by the PM.

We're also expecting to hear from Chancellor Rachel Reeves on the trade deal a little later on today. Stick with us.

Image source, Getty Images

The director general of UK Steel says the industry is still waiting to learn the exact details of yesterday's UK-US trade agreement.

"We're really pleased that the Government's negotiations scrapped the 25% tariff burden that we have suffered since March. But yes, we don't know the details," Gareth Stace says in an interview with Times Radio.

Stace goes on to say that he doesn't know "when this deal comes into force", or what "conditions" UK Steel might need to meet to remove the 25% tariff.

"There may be issues around ownership, around where the steel is made, and until we see those details, we don't know whether this heavy burden will be lifted from us," he adds.

Faisal Islam
Economics editor

Image source, Getty Images

The Governor of the Bank of England has said the UK now needs to "rebuild" Britain's trade relationship with the European Union and do "everything we can" to improve long term trade, after yesterday's US deal.

Andrew Bailey told the BBC that as a public official he did not take a view on Brexit, but that reversing the post Brexit hit to UK-EU trade would be "beneficial".

The Government is currently in talks with the EU on its plan to reset its trade and security relationship ahead of a summit later this month.

Pushed on what impact a closer relationship between the UK and the EU would have on the economy and inflation, Mr Bailey said: "It would be beneficial. Having a more open economy to trade with the European Union. Because there has been a fall-off in goods trade with the EU over recent years."

• We have more from Fasial on how the trade agreement left space for the UK to pursue agreements with the EU on food, farm and fish exports

Image source, Getty Images

As we've reported, British Airways is buying more Boeing planes from the US following the trade deal, but how have other businesses been responding?

Sheffield steel manufacturer Liam Bates, president of Marcegaglia says the news is “very significant”, but adds that it would “be good to get more clarity” on when the deal is set to take effect.

Farmers have had a mixed reaction to the deal, our environment correspondent reports. The National Farmers' Union president says he appreciates the government’s efforts, but one Wiltshire beef farmer feels the deal is a “sell-out” amid fears that food standards will be weakened.

Car manufacturer Jaguar Land Rover says the deal “secures greater certainty for our sector” after import charges were lowered from 25% to 10% on the first 100,000 exports.

Vishala Sri-Pathma
BBC News

Image source, Getty Images

One of the big messages we are getting about the tariff deal is that it includes opening up the British market for some US beef.

Ian McCubbine is a beef farmer in Surrey. He tells BBC Radio 4’s Today programme that “we have to be careful that we are stringent about food standards.”

He adds: “Our food chains are globally recognised as being the best quality of everything. The concern is that the US [beef imports] could be of lower quality. The devil will be in the detail.”

“We spent fifty years building an industry that is strong on environmental gain and animal welfare. We stopped growth hormone injections around 30-40 years ago.”

Food standards in the UK ban imports of treated beef or chlorinated chicken - measures that will remain in place despite the deal, according to officials.

McCubbine adds that it would be hard to tell if any imports of beef contained added hormones.