Donald Trump announces trade agreements with Great Britain

The trade agreement in Great Britain does not contain any “cuts or concessions” for the digital services tax, which, according to a high-ranking British official, has reportedly reported. The tax on the income of global technology companies has long been a mistake in the United States.

The official also confirmed that the United Kingdom would be reduced by 25 percent in the tariffs for cars and steel and aluminum as well as in the quota. The size of other cuts and the odds are still unclear.

Great Britain is expected to reduce its own tariffs for US exports in cars and agricultural products, but will only offer the concession to the USA to other trading partners.

Trading experts have warned this risk of asking legal questions whether such a deal with the “most preferred nation” of the world trade organization is compatible, which means that all trading partners must be offered equally.

This rule can be dispensed with if two countries conclude a bilateral trade agreement that covers “essentially the entire trade”, which lowers the tariffs between the two partners. The British officials are expected that the offer of cuts for the United States is preferably legal because they are part of a “wider agreement” of measures.