Trump and Starmer Advance U.S.-U.K. Trade Talks During State Visit

Trump and Starmer Prioritize Trade and Geopolitical Dialogue at Chequers

Following a ceremonial state banquet at Windsor Castle, U.S. President Donald Trump departed the royal residence on Thursday to meet British Prime Minister Keir Starmer at Chequers, the prime minister’s official country retreat. The discussions centered on advancing the U.S.-U.K. “economic prosperity deal” signed in May, with particular focus on contentious 25% tariffs imposed on British steel and aluminum that the U.K. seeks to eliminate.

Upon arrival at Chequers, Trump was greeted by Starmer and his wife Victoria, accompanied by a ceremonial guard of honor and traditional bagpipers. The venue, a historic 16th-century manor, serves as a more informal setting for international diplomacy compared to London.

Trade Deal Refinements and Geopolitical Challenges

President Trump had indicated prior to his trip that he was committed to assisting the U.K. in refining the existing trade agreement. “They want to see if they can refine the trade deal a little bit,” Trump said. “We’ve made a deal, and it’s a great deal, and I’m into helping them.” Alongside trade, the ongoing conflicts in Ukraine and the Middle East were expected to be significant topics during the talks.

Later on Thursday, Trump, Starmer, and British Finance Minister Rachel Reeves planned to host a business reception followed by a joint press conference.

Substantial Investment Announcements and Diplomatic Relations

The state visit has already delivered substantial economic benefits for the U.K., with inward investments totaling £150 billion ($204 billion) announced during the lead-up and course of the trip. The British government emphasized that these investments are poised to enhance jobs, stimulate growth, and expand opportunities nationwide.

Notably, the dynamic between Starmer, a center-left human rights lawyer, and Trump, known for his distinct political style, has drawn attention for its unexpected cordiality. Tina Fordham, founder of Fordham Global Foresight, described their relationship as “mysterious” but underscored the value of this “soft power” connection given Trump’s limited alliances on the global left.

Public Reaction and Security Measures

The president’s visit captivated public interest, with streets in Windsor adorned with U.K. and U.S. flags and crowds gathering despite heavy security and some protests. Early on Thursday, journalists and media crews camped near the venues to cover ongoing events. Some supporters sported “Make Britain Great Again” paraphernalia, echoing Trump’s well-known campaign slogan.

While the visit was met with some opposition, including protests across Britain, an American citizen interviewed by CNBC described the atmosphere as “marvelous.” Trump appeared to relish the ceremonial aspects, including the royal gun salute, carriage procession, and guard of honor, expressing that the honor of a second state visit was among the highest of his life.

Royal Endorsements and Business Optimism

King Charles III praised Trump’s “personal commitment to finding solutions to some of the world’s most intractable conflicts” during the state banquet. Duncan Edwards, CEO of BritishAmerican Business, characterized the visit’s outcomes as “pretty flawless,” noting the announcements in civil nuclear, financial services, and artificial intelligence sectors.

However, Edwards cautioned that pledged investments do not guarantee immediate capital flow, emphasizing the need to monitor actual commitments over the coming months and years.

— Reporting by CNBC’s Ruxandra Iordache