The UK would not hesitate to retaliate against US tariffs if needed, according to Downing Street sources, BBC reported.
The government is in last-minute negotiations with the White House ahead of a 25% tax on car imports and threats of wider tariffs on other goods on 2 April.
It is trying to get an exemption, arguing that - unlike other countries - the UK has a relatively equal trading relationship with the US. The prime minister has said he does not want to jump into a trade war.
US President Donald Trump has introduced a series of tariffs targeting goods from other countries, arguing the measures will help American manufacturers and protect jobs despite warnings prices could go up for consumers, according to BBC.