Britain’s first deal after Brexit will be a multi-country arrangement with Asia-Pacific nations such as Japan, Mexico, Australia and Canada
Trade Minister George Hollingbery has told businesses the quickest and easiest deal to be struck is to become a member of the CPTPP - an 11-nation Trans-Pacific Partnership being the third largest free trade bloc in the world
BRITAIN’S first post-Brexit free trade deal will be a multi-country arrangement with the likes of Japan, Mexico, Australia and Canada, businesses have been told.
Trade Minister George Hollingbery has privately told firms that the quickest and easiest deal to be struck will be joining the 11-nation Trans-Pacific Partnership - known as the CPTPP.
It is the third largest free trade area in the world - representing 13.4 per cent of the globe’s economic output - equivalent to £10.5 trillion.
It would slash tariffs on most goods between the UK and the 11 countries, which also include Chile, Malaysia, Brunei, Peru, New Zealand, Singapore and Vietnam.
But the trade deal also includes the most detailed standards for intellectual property and copyright of any trade agreement in the world - going above and beyond the EU’s rules.
It also protects companies in the bloc against intellectual property theft when operating abroad.
The trans-pacific trade deal was finally signed in March this year.
It was delayed because Donald Trump pulled out of the deal when he became President in January last year.
America’s involvement would have made it the biggest trading area in the world - equivalent to 40 per cent of global GDP.
Earlier this year Japan - the largest economy in the CPTPP - vowed to help Britain join after Brexit.
Britain will be able to officially open negotiations to join the CPTPP in March, when we formally leave the EU.
But new trade deals will only be able to come into effect after Britain is free of EU customs rules.
The Institute of Directors welcomed plans to join the CPTPP but urged ministers to involve businesses from the start.
IoD trade chief Allie Renison said: “It’s unsurprising that an agreed trade treaty is likely going to be easier for the UK to accede to, rather than starting from scratch with new parties - although this may give less wiggle room for any UK-specific changes.
The Sun Says
THE Prime Minister has fallen into the Remainer trap of thinking Brexit is all about slashing immigration.
She is bandying around “an end to free movement” as the be-all and end-all of her Brexit deal, as if pulling up the drawbridge is the only thing Brits want from our departure.
In truth, thanks to the threat of the “backstop”, this appalling deal hasn’t even secured that. We have no idea what concessions we’ll have to make if the EU tries to strong-arm us over the coming years.
But even assuming we DO obtain full control of our borders, we must use those powers to build an immigration system that welcomes the world’s best, brightest and most ambitious.
Because a good Brexit is one that delivers a reinvigorated global Britain.
And that is what makes the PM’s deal so concerning. For all her warm words, we do not see HOW we can negotiate good trade deals with other countries, as the deal offers us limited ability to offer tariff reductions.
That’s not an international Britain — the sort of free-trading Britain that is relaxed about our passports being made in France and seeing Japanese cars made in Sunderland.
We must be able to embrace the world beyond our nearest neighbours.
“It’s welcome news that the Government is starting to prioritise its negotiations, although we would like to see an agreed consultation or engagement mechanism for business put in place before these begin in earnest - as is the norm with trade policy in many other countries.”
A spokesman for the Department for International Trade said: "CPTPP is a huge trading bloc in the Asia-Pacific, accounting for close to £1 in every £7 of the global economy.
"Joining this partnership would bring the UK closer to key economies in one of the fastest growing regions the world. We’re currently analysing responses to our consultation on potentially joining CPTPP and will publish our approach in due course."
Today the Trade Secretary Liam Fox will hold talks with Israeli Prime Minister Benjamin Netanyahu to boost trade with the country.
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