Uk Mexico Trade Agreement

Any existing EU agreement, which will not be rushed, will end on 31 December and future trade will take place on WTO terms until an agreement is reached. The United Kingdom has now concluded trade agreements with 58 countries, worth $198 billion a year. This represents 96% of the value of trade with third countries with which we wanted to conclude agreements at the beginning of the trade convergence programme. The alliance also abolishes tariffs on 95% of all goods traded between Member States. The UK is also in talks with Turkey for a trade deal, although the state operates on EU customs territory, with each agreement influenced by negotiations with Brussels. If no agreement is reached by December 31, many imports and exports will be billed, which could drive up prices for businesses and consumers. The joint statement says the agreement will be „temporary,“ given that the Mexican and British governments have agreed to begin negotiations to conclude a new trade agreement they intend to conclude in the next three years. As discussions on the possibility of a trade deal between the UK and the EU continue before the UK leaves the EU on 31 December, Mexico has long supported trade with the UK. As early as 2016, the Mexican economic secretariat and the Minister of State for Trade Policy had begun to put in place a framework for the management of the two countries after Brexit, which would ensure stability for producers operating and operating in both countries. The UK-Mexico Trade Continuation Agreement will particularly benefit the automotive, pharmaceutical, textile, agriculture, food and beverage and other manufacturing sectors, where the UK has the highest trade sector with Mexico. The UK has left the EU, but its trade relations remain unchanged until the end of the year. That`s because it`s in an 11-month transition – designed to give both sides some time to negotiate a new trade deal. Companies planning or planning business operations between the two countries are strongly advised to analyze the impact of the new continuity agreement on their supply chains.