CNBC reports:

The U.K. and U.S. agreed to a landmark trade deal on Thursday — yet the agreement appears to be far from free of tariffs.

The deal is the first made by the United States since President Donald Trump unveiled his so-called reciprocal tariffs on countries around the world last month.

The United Kingdom’s position as one of a handful of countries where the U.S. boasts a trade surplus in goods — meaning the U.S. exports more to the U.K. than it imports — put the country at the front of the queue for officials to broker an agreement with the Trump administration.

However, even Britain, with its “special relationship” with the U.S., didn’t manage to persuade Trump to drop all tariffs during trade talks.

Under the deal, the U.K. can export 100,000 vehicles each year at a 10% rate, with any additional vehicles facing 25% duties. British steelmakers and the aluminum industry will be able to export tariff-free, down from the 25% rate that the U.S. imposed in February. [Continue reading…]