The US will slash tariffs on Range Rovers and other UK-made cars to 10pc as part of Donald Trump’s trade deal with the UK, The Telegraph understands.

The reduction will form part of a 12-month “temporary arrangement” ahead of striking what Britain and the US hopes will be a comprehensive trade deal in the coming months.

In return, the UK and US will slash tariffs on beef imports and exports close to zero, although Britain will not allow hormone-treated beef into the UK as part of the deal.

President Trump announced new 25pc tariffs on foreign-made cars and car parts imported into the US in March. Jaguar Land Rover halted exports to the world’s biggest economy as a result.

It is understood that British carmakers will be given a quota of 100,000 that will be able to be sent to American shores at lower tariffs.

The 25pc tariff currently imposed on UK steel exports to the US will also be reduced, though details of rates and quotas are still to be finalised.

“We’ll get immediate relief on sectoral tariffs,” said a source.

Last year, British manufacturers exported just over 100,000 cars to the US, according to the SMMT, making up almost 17pc of the industry’s overseas sales.

Those were typically high-end models: sales to the US amounted to £9bn of exports, according to the Office for National Statistics, or more than one quarter of the value of all car exports.

US tariffs on British beef typically vary between 4pc and 26pc depending on the type and quality of cut, according to the WTO.
Britain’s tariffs on American beef stand at up to 20pc.

While the trade deal will be a boost for Sir Keir Starmer, it falls short of the “full and comprehensive” arrangement that President Trump declared on Thursday.

The US president, who will unveil the deal at a press conference in the Oval Office at the White House on Thursday afternoon, also said the agreement will “cement the relationship” between the two countries “for many years to come”.

Downing Street says Sir Keir will make an announcement about a deal with the US on tariffs later on Thursday.

“The Prime Minister will always act in Britain’s national interest – for workers, for business, for families,” a No 10 spokesman said.

The Department for Business and Trade declined to comment.