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Donald Trump shakes hands with Britain's ambassador to the US, Peter Mandelson, after announcing a trade deal with the UK. Picture: REUTERS
Donald Trump shakes hands with Britain's ambassador to the US, Peter Mandelson, after announcing a trade deal with the UK. Picture: REUTERS

A group representing General Motors, Ford and Stellantis blasted US President Donald Trump’s trade deal announced with the UK, saying it would harm the US car sector.

British carmakers will be given a quota of 100,000 cars a year that can be sent to the US at a 10% tariff rate, almost the total the UK exported last year, compared to 25% for Mexico and Canada and nearly all other countries.

“Under this deal, it will now be cheaper to import a UK vehicle with very little US content than a USMCA compliant vehicle from Mexico or Canada that is half US parts,” said the American Automotive Policy Council, which represents the Detroit Three carmakers.

“This hurts US automakers, suppliers, and auto workers.”

Top US officials have engaged in a flurry of meetings with trading partners since Trump on April 2 imposed a 10% tariff on most countries, along with higher rates for many trading partners that were then suspended for 90 days.

The US has also imposed 25% tariffs on cars, steel and aluminium, 25% tariffs on Canada and Mexico, and 145% tariffs on China. US and Chinese officials are due to hold talks in Switzerland on Saturday.

Reuters

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