Britain conducts its first trade agreement with Japan
Britain and Japan formally signed the first trade agreement after Brexit as it continues to face difficulties to strike an agreement with its closest trading partners in the European Union. British Trade Minister Liz Truss told reporters after the signing ceremony in Tokyo, "How appropriate it is to be in the country of the sun." "This is the first new free trade agreement to be concluded since the UK became again an independent trading nation."
Britain said the deal means 99% of its exports to Japan will be duty-free and that it could increase trade by 15.2 billion pounds ($ 19.9 billion) compared to 2018.
The agreement will cancel British duties on Japanese cars in stages, reaching "zero" in 2026, which is similar to the trade agreement between Japan and the European Union. The agreement still needs to be vetted by the parliament of the two countries, and the new agreement is largely in line with the existing free trade agreement between Japan. And the European Union.
The two sides want to avoid economic chaos at the end of the year and Britain remains part of the single market and the EU customs union throughout the Brexit transition period.