Legis
Trade
Executive order · Monday 16 June 2025

Implementing The General Terms Of The United States Of America-united Kingdom Economic Prosperity Deal

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  • The executive order is issued under the President's authority as granted by multiple U.S. statutes.

  • It announces the General Terms for the Economic Prosperity Deal between the U.S. and the UK, aiming to improve trade access and bolster national security.

  • Key components of the deal include:

    • Increased market access for American exports, particularly beef, ethanol, and agricultural products.
    • Reduction or elimination of non-tariff barriers by the UK that affect American products.
    • Establishment of a tariff-rate quota of 100,000 vehicles for UK automotive imports at a 10% tariff rate.
    • UK commitments to meet U.S. security standards for steel and aluminum supply chains.
    • Negotiations for preferential treatment of UK pharmaceuticals pending an investigation.
    • A structured approach to address future U.S. national security concerns related to sections potentially facing investigations.
    • Plans to enhance aerospace manufacturing supply chains through tariff-free trade on certain products.
  • The order establishes:

    • A tariff-rate quota of 100,000 automobiles from the UK, with a reduced tariff of 10% (inclusive of most-favored-nation rates).
    • A similar reduction for automotive parts from the UK, with tariffs adjusted to 10%.
  • Within 7 days, the Secretary of Commerce, in consultation with relevant agencies, will modify the Harmonized Tariff Schedule (HTSUS) as needed.

  • Tariffs on UK products under the World Trade Organization Agreement on Trade in Civil Aircraft are to be lifted, effective upon notice publication.

  • Future tariff-rate quotas for aluminum and steel articles from the UK will be established, maintaining duties on excess imports beyond the quotas set.

  • The order emphasizes compliance with existing laws and budgetary provisions and clarifies that it does not create enforceable rights against the U.S. government.

  • The costs associated with the publication of this order will be managed by the Department of Commerce.