After a turbulent week in the wake of  Donald Trump's decision to implement a raft of tariffs across the globe, a breakthrough on an economic deal between the US and UK could now be on the horizon, even as tariff wars between Beijing and the White House have thrown the global economy into widespread chaos.

Earlier this month President Trump announced a wave of 'reciprocal' tariffs on various nations across the globe, before finally backtracking to a 10% rate for all countries except China, who were instead hit with a 145% tariff.  In response, China increased it’s own Tariff on US goods to 125% in an embittered row that could throw global manufacturing and many businesses into chaos.

Eager to avoid falling into a similar dire situation, senior UK government sources have indicated that conversations over a potential agreement with President Trump are due to be held in the coming days, with chancellor Rachel Reeves vowing to secure the “best deal possible” for the country - even despite a US advisor having dismissed the idea of any tariff concessions.

When questioned whether she was losing confidence in the prospect of a deal with the US and the possibility of pivoting to other trade partners instead, Ms.Reeves dismissed the idea and reaffirmed her commitment to make sure Britain continued its negotiations with America.

She said: “We continue to engage with our counterparts in the United States and of course we want to secure the best deal possible for British jobs and British industry. And we are absolutely … resolved to do everything we can

“But, at the same time, we also want to improve trading relations with other countries around the world.”

According to The Times, senior governmental sources believed conversations about any agreement would progress in a few more days, with cautious optimism.

However, Kevin Hassett, Trump’s senior economic adviser has shot down hopes for a tariff free future, as he described the 10% tariff as a “baseline” and said anything below this would be “extraordinary”.

The UK was initially hit with the 10% tariff on April 2, with the amount being looked upon favourably, given the much larger tariffs levelled on other countries such as the EU which faced a 20% tariff and countries such as Cambodia, Vietnam, Sri Lanka and Bangladesh, who were all hit with tariffs of 49%, 46%, 44% and 37% respectively.

However, just days after the announcement, Trump appeared to backtrack and granted a 90 day pause, meaning that traders importing to America from across the world would only face 10% tariffs, except for China who was disproportionately singled out and hit with astronomic tariffs of 145%.

“It is going to take some kind of extraordinary deal for the president to go below there,” Hassett said.

Although Ms.Reeves has reiterated her commitment to maintaining a strong economic bond with the US, one of the country’s key trading partners, she did also acknowledge the need to forge strong bonds elsewhere too, and is scheduled to head to Poland to meet European financial ministers and discuss the situation further.

Meanwhile, Reeves’ counterparts around the world have been holding their own crisis talks to establish the best way to respond to Trump’s tariffs.