Source · Select Committees · Business and Trade Committee
Recommendation 10
10
Accepted
Work with industry to monitor, allocate, and expand the 100,000-vehicle automotive quota.
Recommendation
The Government must work with industry to closely monitor use of the 100,000-vehicle automotive quota under the GT-EPD, agree a clear, fair mechanism for its allocation and management, and, given the complementary nature of the US and UK automotive industries, ministers should advance arguments to expand the quota. (Recommendation, Paragraph 62)
Government Response Summary
The government states the US will administer the 100,000-vehicle quota on a quarterly first-come, first-served basis from 2026 and confirms regular engagement with industry on UK-US trade.
Government Response
Accepted
HM Government
Accepted
The EPD General Terms secured an annual tariff rate quota for imports to the US of UK-produced passenger vehicles, at a tariff rate of 10%. From 1 January 2026, the annual quota of 100,000 vehicles accessing this 10% rate will be administered by the US on a quarterly first-come first-served basis. The new quota is expected to cover the majority of UK-originating vehicles entering the US market at the 10% rate. As with all matters relating to UK competitiveness, DBT engages on a regular basis with industry representatives from companies and trade bodies, as well as via the Automotive Council, to discuss a range of issues, including UK-US trade.