Theresa May reveals China, Mexico, South Korea and Singapore have joined UK trade deal queue – as Japan dithers
The Prime Minister reeled off a list of nations which would welcome discussions about boosting free trade
THERESA May hailed the UK’s “Brex Appeal” yesterday as she revealed six countries at the G20 summit want to strike a trade deal with an independent Britain.
Speaking at the leaders’ summit in Hangzhou, China, the Prime Minister reeled off a list of nations which would welcome discussions about boosting free trade.
She named India, Mexico, South Korea, Singapore and Australia, whose premier insisted plans over the terms were “already well advanced”.
An official UK source later added that China was also keen on exploring trading relations after Britain leaves the European Union.
The official said: “They specifically said China would be open to a bilateral trade deal. That’s interesting to us as we leave the EU.”
Mrs May’s boast came at the end of her first big overseas trip since moving into Downing Street and being charged with negotiating Britain’s divorce from the EU and journey back on to the global stage. And it followed warnings about the negative consequences of the bombshell Brexit vote from US President Barack Obama and the Japanese PM Shinzo Abe.
In a summit showdown yesterday, Mr Abe demanded to know what Brexit means for his country’s factories in the UK.
He cornered Mrs May at the talks to insist upon “a higher degree of predictability” on what Britain’s trading terms with the EU will look like after we leave.
And in London, Japan’s ambassador warned their firms could quit unless the UK remains the best place for them to be based, putting 140,000 UK jobs at jeopardy.
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But as the Hangzhou summit wrapped up Mrs May told a packed press conference that the world was keen to strike new agreements.
She said: “What I have found good about the discussions I’ve had with a number of world leaders, including with Prime Minister Abe, is the willingness to talk with the UK about future trade arrangements, and the confidence that they have in the United Kingdom.
“I’ve found it very gratifying.”
The bosses of two Commonwealth countries were the most enthusiastic.
Australia’s PM Malcolm Turnbull offered to do Britain’s first trade deal outside the EU, insisting it should be “very strong, very open”. He said Australia “would be getting in to deal with the British early”.
Asked if the deal could be done while he is PM or in the two years, nine months left this Australian Parliament, he replied: “Absolutely.”
India’s PM Narendra Modi also agreed to start joint talks to look at how a London-Delhi deal could be tied down after we leave Brussels.
His spokesman said: “The Prime Minister underlined that even after the Brexit, the UK remained as important to India as before.” Mexico, Singapore and South Korea’s leaders also talked about removing barriers, the PM said.
China’s President Xi Jinping even opened the door to Brexit Britain despite the tensions between Beijing and London over the contract for the Hinkley Point nuclear plant.
He told the PM he is open to looking at a bilateral trade deal.
Brexit Secretary David Davis pointed to the encouraging messages by saying they proved Britain could create a “unique” model with the EU in divorce talks with Brussels.
Speaking in the Commons yesterday he said Britain’s size and trading relationship with the EU meant it could strike a deal that satisfied UK businesses as well as overseas giants such as car maker Nissan.
Brexit still appeared on the official summit communique last night as a potential threat to the world economy. Pressure has grown on Mrs May over the two-day summit to get on with defining Brexit.
Italy’s economic development minister Carlo Calenda said Britain must choose between free trade and immigration controls.
He said: “We cannot waste two years negotiating with the UK how to maintain them inside without them wanting to be inside.
“The more they’re going to regulate and limit the presence of EU citizens in the UK, the more we’re going to limit the presence of UK goods into Europe.”
President Obama said on Sunday the US wanted to see what Brexit looked like before it could do a trade deal with the UK.
Separately yesterday the head of the Lloyd’s of London insurance market said Brexit could see some insurance businesses move to continental Europe. John Nelson said operations may quit before
Brexit talks are over unless the Government can provide “clarity” about the UK’s future relationship with the EU.
But Mrs May countered at the G20 by warning other world leaders they needed to up their game to win back voters disillusioned with mainstream politics.
She said a big effort was needed to deliver the benefits of capitalism to see off a growing backlash and convince people they would not be left behind.
Anger is mounting in the US, led by presidential hopeful Donald Trump, and across Europe, as poorer workers fail to reap benefits while the rich prosper.
Mrs May said nations must take “bold action” to stamp out irresponsible fat-cat behaviour.
A G20 agreement to further blitz corporate tax dodgers must be followed by action on higher wages, better infrastructure and excess boardroom pay, she said.
Mrs May told the leaders: “It is vital that we deliver action in all these areas if we are to retain support for free trade and the open economies which are the bedrock of global growth.
“We must do more to ensure that working people really benefit from the opportunities created by free trade.” Mrs May said a number of leaders, including Australia’s Mr Turnbull, were interested in the UK’s message on corporate irresponsibility.
And she said her flagship plan to tackle greedy fat-cats and put workers on company boards will be unveiled in a few weeks.