Today the UK signed a Free Trade Agreement with Japan. This marks the UK's first major trade deal as an independent trading nation and offers a glimpse of Global Britain's potential.
UK exports to Japan have been growing by an average of 7.6% year on year over the previous five years and, with this free trade deal in place, have the opportunity to grow further. Benefits from a deal include better jobs, higher wages, more choice and lower prices for all parts of the UK. Removing trade barriers with Japan will deliver gains, for the 8,000 small and medium-sized enterprises (SMEs) across the UK already exporting goods to Japan and those making plans to enter the Japanese market. The East of England will benefit significantly from the free trade agreement. For example, exporters of food and drink based in the region will benefit from reductions in tariffs and red tape. Last year, the East of England’s exports of food and drink to Japan were worth £33.3m. In 2019 there were 1,040 businesses in the East of England exporting goods worth about £870 million to Japan.
International Development Secretary Liz Truss said:
Today is a landmark moment for Britain. It shows what we can do as an independent trading nation, as we secure modern and bespoke provisions in areas like tech and services that are critical to the future of our country and the reshaping of our economy. Trade is a powerful way to deliver the things people really care about. At its heart, this deal is about creating opportunity and prosperity for all parts of our United Kingdom and driving the economic growth we need to overcome the challenges of coronavirus.
The agreement also has a much wider strategic significance. It opens a clear pathway to membership of the Trans-Pacific Partnership – which will open new opportunities for British business and boost our economic security – and strengthens ties with a like-minded democracy, key ally and major investor in Britain.
