UK Working on its Own to Establish New Trade Agreements
Now that Brexit is a done deal, the UK is leaning into its sovereignty from the European Union (EU) by establishing new trade agreements. It is now being speculated that the UK could forge a partnership with a major trading bloc within the next year.
Less than a year after the finalization of Brexit, the UK had already signed a trade agreement with Japan. The UK is also finalizing the details between two trade agreements with New Zealand and Australia, signaling that they are fully invested in working as an independent nation apart from the EU.
UK Now Has Sights on Major Trading Bloc
While these new agreements with individual nations are certainly something to celebrate, the UK is now looking toward joining the major trading bloc known as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). This partnership will give the UK a strategic avenue for trade within the Pacific.
The UK has already submitted an application to join the CPTPP. International Trade Secretary Liz Truss said that she hopes that the partnership will be finalized within a year. As the globe’s third-largest free trade agreement, the CPTPP consists of 11 nations.
Trade Agreement With the US?
There is still no bilateral trade agreement in place between the UK and the US. Most foreign trade experts believe that this will not happen until at least 2024. While former President Donald Trump was a supporter of the UK’s Brexit decision, President Joe Biden was not on board with the UK’s choice to exit the EU, potentially slowing down the process of reaching a trade partnership.