NextFin news, On Tuesday, September 16, 2025, US President Donald Trump began his visit to the United Kingdom, where a flurry of trade announcements took place in London. Among the key developments, British pharmaceutical company GlaxoSmithKline (GSK) announced a $30 billion investment in US research and development and supply chain infrastructure over the next five years.
The GSK investment includes $1.2 billion to build a new factory in Pennsylvania focused on medicines for respiratory diseases and cancer, with construction slated to start in 2026. The company also plans to invest in artificial intelligence, digital technology, and manufacturing improvements at its five US sites. This move comes amid Trump's administration's push to boost domestic manufacturing and impose tariffs on imports, including threats of tariffs on the pharmaceutical sector.
Meanwhile, President Trump engaged in a phone call with Indian Prime Minister Narendra Modi on Tuesday, aiming to ease tensions between the two countries following the US's recent imposition of a 50% tariff on Indian goods. The tariffs were partly a penalty for India's continued purchase of Russian oil and weapons, which the US has criticized amid the ongoing Russia-Ukraine conflict.
Trump praised Modi during the call, calling him "tremendous" and thanking him for his support in seeking an end to the war between Russia and Ukraine. Modi responded by calling Trump a "friend" and reaffirmed the commitment to strengthen the US-India partnership. The call marked the first direct communication between the two leaders since the tariffs were imposed last month.
Trade negotiations between the US and India have been ongoing, with a US delegation led by trade negotiator Brendan Lynch meeting Indian commerce ministry officials in Delhi on Tuesday. While India described the meeting as a discussion rather than a formal negotiation round, both sides expressed optimism about reaching an agreement. Indian exports to the US have declined since the tariffs took effect, impacting sectors such as garments, shrimp, and jewelry.
In London, the UK government announced it would shelve plans to negotiate with the US on removing British steel tariffs, meaning current duties will remain in place. This decision contrasts with the trade announcements and signals ongoing complexities in US-UK trade relations.
Additionally, US Treasury Secretary Scott Bessent, leading talks with Chinese trade officials in Spain, expressed confidence that a trade deal with China is near, with further discussions expected before reciprocal tariffs take effect in November. Bessent also mentioned anticipation of a finalized TikTok deal following a planned meeting between President Trump and Chinese President Xi Jinping on Friday.
The US Supreme Court is set to hear a legal challenge to President Trump's tariffs in early November, potentially resolving the dispute over the sweeping country-specific duties ranging from 10% to 50% that Trump has imposed under the International Emergency Economic Powers Act.
These developments highlight a busy period of trade diplomacy and economic policy announcements coinciding with President Trump's UK visit and ongoing international trade negotiations.
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