Monday, August 25, 2025

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Brex…In? UK and EU Cozy Up as Trump Turns Up the Tariffs

In what could be a possible love-is-sweeter-the-second-time-around moment, the UK and the EU are poised to sign a “free and open trade” declaration—squarely aimed at countering President Donald Trump’s rising tariff agenda.

According to a leaked draft seen by POLITICO, the agreement outlines a “new strategic partnership” aimed at restoring stability and collaboration between London and the bloc. Scheduled for formal unveiling at the May 19 summit hosted by Prime Minister Keir Starmer, the declaration marks the clearest sign yet that Britain’s post-Brexit detour may be rerouting straight back into the EU’s waiting arms—albeit without the official ring.

The declaration notably doubles as a pointed rebuke to Trump-era economic nationalism, with officials in London simultaneously begging Washington for a tariff carve-out while pledging undying loyalty to the bloc.

The pact extends beyond economics. It includes pledges of joint political, humanitarian, and military support for Ukraine, as well as shared demands for a permanent ceasefire in Gaza and increased humanitarian aid. The partners also recommit to global norms such as the UN Charter and the European Convention on Human Rights—despite loud grumbling from Nigel Farage’s Reform party and hardline Conservatives who still fantasize about shredding the ECHR like a leftover Brussels directive.

On climate, the agreement proposes aligning the UK’s and EU’s emissions trading schemes—suggesting that while borders may still be checked for cheddar, carbon credits might flow freely. Talks are also underway for a youth mobility visa scheme, allowing young Brits and Europeans to work and travel more easily across the Channel, as if 2016 had been a particularly bad dream.

Behind the flowery language lies a pragmatic calculation. With economic uncertainty on both sides of the Atlantic and Trump’s trade agenda poised to squeeze allies as well as rivals, Europe and the UK are taking the diplomatic equivalent of trial separation and rewriting the relationship terms.

Ambassadors from the bloc will gather in Brussels on Wednesday to assess the latest developments in the ongoing negotiations.


Information for this briefing was found via Politico and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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