The UK-US trade has been signed and is "done", US President Donald Trump has announced.
It came as the US President stood alongside Mr Starmer on the sidelines of the G7 summit. "We signed it, and it's done", Mr Trump declared after accidently dropping the papers on the floor.
He also appeared to mistakenly say he had signed a "trade agreement with the European Union" - rather than the UK. He added: "It's a fair deal for both. It'll produce a lot of jobs, a lot of income."
Mr Starmer replied: "Donald, thank you very much. This now implements on car tariffs and aerospace. A really important agreement. And so this is a very good day for both of our countries, a real sign of strength."
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The deal, which was announced in May, will see tariffs on steel and car exports to the US slashed in exchange for greater access to the UK for beef and ethanol producers.
But the agreement - expected to save thousands of British manufacturing jobs - has not been implemented amid delays from Washington.
President Trump imposed a raft of tariffs on trade in April on what he branded "Liberation Day".
It included 10% levies on all British goods, and 25% on cars, steel and aluminium. He later increased the tariff on steel to 50%, but the UK was handed a reprieve, keeping its 25% rate until at least July 9.
Under the deal, signed by Keir Starmer and Mr Trump, the US will cut aluminium and steel tariffs to zero and slash levies on the first 100,000 British cars a year to 10%.
Ahead of the meeting on Monday, Mr Starmer said the deal was in the "final stages" and expected to be it to be completed "very soon".