In a significant development for post-Brexit Britain, the UK has reached its largest trade deal yet. The country is set to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), which covers a market of around 500 million people with a combined GDP of £9tn.
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What is Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP):
The CPTPP agreement was signed by 11 countries, including Canada, Japan, Mexico, and Australia, and came into force in December 2018. The UK’s entry into the agreement marks a major milestone for the country’s global trading ambitions and reinforces the government’s commitment to building trade partnerships outside of Europe.
Significance of UK’s Joining of CPTPP:
The deal will remove tariffs on a range of British exports to member countries, including whisky, cars, and beef, and will give UK businesses greater access to fast-growing markets in the Asia-Pacific region. The agreement will also create new opportunities for UK services, particularly in areas such as digital trade, financial services, and professional services.
The UK’s membership of the CPTPP is expected to boost trade between the UK and member countries by around £9bn, or 0.08% of GDP. The government has also said that joining the CPTPP will help to diversify the UK’s trading relationships and reduce the country’s reliance on any one market.
The UK’s entry into the CPTPP has been welcomed by business groups, who have long advocated for the country to pursue new trade deals outside of Europe. The deal is also likely to be seen as a sign of the UK’s growing influence on the global stage, despite its departure from the European Union.
What the critique are saying:
However, the deal has also attracted criticism from some quarters. Labour Party has raised concerns about the impact of the deal on British workers and the environment, while some farmers have expressed fears that the agreement could lead to a flood of cheap imports that would undermine their livelihoods.
UK and CPTPP: Long Time To Go:
The UK’s entry into the CPTPP is expected to take several years, as the country will need to negotiate individual agreements with each member country before joining the agreement as a whole. However, the government has said that it will seek to accelerate the process wherever possible.
UK and CPTPP: In Conclusion:
Overall, the UK’s entry into the CPTPP marks a significant step forward for the country’s global trading ambitions. It is also likely to be seen as a sign of the UK’s growing influence on the global stage, as it seeks to build new trading relationships outside of Europe. However, there are also likely to be challenges ahead, as the country negotiates individual agreements with each member country and seeks to balance the interests of different stakeholders in the UK.
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