10th Report – US Economic Prosperity Deal

The government states it is already working to integrate economic engagement with the US through the Economic Prosperity Deal and Tech Prosperity Deal, securing significant investment and focusing on shared economic security objectives. It notes that the upcoming Critical Minerals Strategy will provide further detail on supply chain security.

The government highlights existing successes from the President's State Visit, including the Technology Prosperity Deal and preferential tariff rates for steel, aluminium, lumber, and cars. It states it is continuing talks on a wider UK-US Economic Deal and will work closely to further reduce tariffs and expand the EPD over time.

The government states that it has kept and will continue to keep Parliament informed through statements, affirming that any final agreement for the EPD will be scrutinised by Parliament in line with established procedures.

The government states it has already provided updates to Parliament through statements and will continue to keep the House informed. It affirms that any final agreement will be subject to parliamentary scrutiny in line with established procedures, but does not commit to setting out a clear timetable in advance of ratification.

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.

The government states it has already secured a preferential 25% tariff rate for UK steel and aluminium exports to the US, preventing a 50% increase, and details several bold actions taken to support the steel industry's competitiveness and low-carbon transition.

The government states it is seeking to introduce legislation to make the UK’s trade remedies system more accessible, assertive, and agile as soon as parliamentary time allows, with further details to be announced later. The Trade Remedies Authority is also committed to reforming its processes for faster delivery and building capability.

The government states it is regularly engaging with UK businesses and sectors on the impact of US tariffs, noting that the 25% tariff provides a competitive advantage compared to the 50% faced by other countries.

The government affirms its commitment to the UK pharmaceutical sector within its Industrial Strategy and states it will continue to press the US for outcomes that deliver benefits for UK industry, aligning with the recommendation to seek clarity and wider tariff relief.

The government highlights that the Tech Prosperity Deal already fosters integration of science and technology communities, and mentions the Industrial Strategy Advisory Council was formed in December 2024 to convene experts and make recommendations on international partnerships and trade.

The government accepts the need for a strategic economic and foreign policy approach to the EPD, stating it will integrate modern trade tools, strengthen defences against unfair practices, and implement its Industrial and Trade Strategies, including launching a Supply Chain Centre to map vulnerabilities and build resilience.

The government accepts the recommendation, stating it is in line with the UK's approach to EPD discussions and that the UK and US have agreed to negotiate ambitious digital trade provisions to promote growth while safeguarding interests.

The government states that industry engagement is central to its approach, citing existing initiatives like NPSA and ECJU guidance, and commits to establishing a new Economic Security Advisory Service to provide advice, guidance, and facilitate dialogue with businesses.

The government states it has been, and will continue to be, extensively engaging with businesses and stakeholders across the economy to protect UK standards while unlocking market access opportunities under the EPD.

The government acknowledges the Economic Prosperity Deal (EPD) and highlights achievements such as the Technology Prosperity Deal and preferential tariff rates for steel, aluminium, lumber, and cars. It states it is continuing talks on a wider UK-US Economic Deal and working to expand the EPD and reduce tariffs further.

The government clarifies that the 100,000-vehicle quota for UK automotive exports to the US, at a 10% tariff rate, will be administered by the US on a quarterly first-come, first-served basis starting January 1, 2026.

The government addresses the uncertainty by stating the UK will maintain a preferential 25% tariff rate on steel and aluminium exports to the US. It also details several other actions taken to support the steel industry, including new trade measures and funding.