Hopes 'fading' for US steel deal with just two days to go until Trump's deadline for hiking tariffs to 50%
Keir Starmer paraded his Transatlantic trade pact in May, suggesting that the industry would be spared any levies.
However, steel was not covered in the implementation text released last month - with the UK subject to a 25 per cent rate.
Mr Trump warned that could rise to the 50 per cent being imposed on the rest of the world from July 9 unless terms can be agreed.
UK sources have admitted the the issues are 'complicated', with America worried about creating a loophole for imports from China.
There have been suggestions that Britain could at least avoid the highest rate of tariffs while talks continue.
Standing alongside Sir Keir at the G7 summit in Canada last month, Mr Trump said the deal was 'done', and refused to make any firm commitment to further progress on steel levies.
The agreement with the US had already come under fire in some quarters for 'shafting' the UK, with America openly boasting that it had managed to achieve higher tariffs than before and get more access to markets.
But asked if steel tariffs would be set to zero for the UK, the US President replied: 'We're gonna let you have that information in little while.'
The UK has also not obtained any guarantee that the crucial pharma industry will not be hit with tariffs, and there are claims Sir Keir has conceded the NHS will pay billions of pounds more for drugs.
Asked whether Britain would be shielded from future tariffs, Mr Trump said the UK was protected 'because I like them'.
'The UK is very well protected, you know why? Because I like them. That's their ultimate protection,' he said.
The order issued by the president relating to the UK deal said the US 'may increase the applicable rates of duty to 50 per cent on or after July 9'.
A government source told The Times: 'We are making progress but I think both sides recognise it is going to take a bit more time.
The agreement with the US had already come under fire in some quarters for 'shafting' the UK, with America openly boasting that it had managed to achieve higher tariffs than before and get more access to markets
'We are hopeful that July 9 is not a hard deadline from the American point of view and while we will not see tariffs fall to zero then neither will we see them double.'
Gareth Stace, director-general of UK Steel trade group, said: 'Every day of delay costs our steelmakers dearly. Contracts slip away, investment plans stall and uncertainty freezes business decisions.
'A swift and positive resolution is urgently needed to safeguard jobs, unlock growth and restore confidence in the UK steel sector.'
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