UK to Join CPTPP: Tariff-Free Trade on the Horizon

The British government announced that the UK will join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) by December 15, 2023. With the ratification completed, over 99% of UK goods exports to CPTPP members will be tariff-free, potentially boosting the economy by £2 billion annually by 2040.

The British government revealed on Thursday that its agreement to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) will take effect by December 15, following the final necessary ratification.

CPTPP, established in 2018, is a free trade pact among 11 countries, including Australia, Brunei, Canada, and Japan. The UK will be the only European member and the first new addition since the agreement's inception. The UK concluded negotiations to join in March 2023 and signed the accession treaty in July, pending ratification by its government and six other member states.

With the UK's ascension ratified by Japan, Singapore, Chile, New Zealand, Vietnam, and Peru, the agreement will soon be in force. Douglas Alexander, Minister of State for Trade Policy, hailed the move as beneficial for UK businesses, enabling them to capitalize on new trade opportunities. The CPTPP mandates the reduction of tariffs and strong commitments to open markets, potentially boosting the UK economy by £2 billion annually by 2040.

(With inputs from agencies.)