The move comes as Britain seeks to build ties around the world after leaving the European Union in 2020. - Reuters
SINGAPORE (The Straits Times/Asia News Network): The Republic welcomed Britain’s decision to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as its 12th member, and the first European one.
The move to join the trade pact – which includes Singapore, Japan and Australia – comes as Britain seeks to build ties around the world after leaving the European Union in 2020.
In a post on LinkedIn on Friday, Trade and Industry Minister Gan Kim Yong congratulated Britain on the “significant milestone” which concluded after almost two years of negotiations.
“The UK’s accession to the CPTPP will provide more business opportunities and make it easier for Singapore companies navigating the UK market,” said Gan.
He said it further enhances the countries’ strong bilateral economic relationship, which is underpinned by various agreements, namely the UK-Singapore Free Trade Agreement, the UK-Singapore Digital Economy Agreement and the UK-Singapore Green Economy Framework.
S. Iswaran, Minister-in-charge of Trade Relations, mirrored this sentiment in a congratulatory post, also on LinkedIn.
“Singapore remains strongly committed to ensuring that CPTPP remains high-standard, robust and relevant, so that it continues to bring benefits to our people and businesses,” Iswaran said.
“I look forward to the UK’s accession to the CPTPP.”
Gan added that members will now work with all CPTPP members towards the signing of the accession protocol.
Other members of CPTPP are Brunei, Canada, Chile, Malaysia, Mexico, New Zealand, Peru and Vietnam.
In a joint ministerial statement on Friday, member countries said the CPTPP is “one of the most comprehensive and ambitious trade deals ever concluded”.
“The CPTPP Members and the UK are committed in further promoting free trade, open and competitive markets, the rules-based trading system and economic integration in the region and beyond,” they said.
Britain’s membership will supplement existing bilateral free trade agreements it has with most of the member countries, and gives businesses extra options over the terms they can trade under.
British Prime Minister Rishi Sunak’s office said the pact was the biggest trade deal since Brexit, with a combined gross domestic product (GDP) of £11 trillion (S$18.1 trillion) once Britain joins, or 15 per cent of global GDP.
Britain’s trade commissioner for Asia-Pacific, Natalie Black, noted that as the CPTPP’s second-biggest member, Britain’s entry will boost the combined GDP of the trade bloc from £9 trillion to £11 trillion and provide greater access to 67 million consumers across the UK.
“CPTPP is one of the world’s most progressive trade agreements, and the UK’s accession will take it from a Pacific agreement to a truly global one,” said Black.
“Today’s announcement will help British businesses grow their trade with seven dynamic Asia-Pacific economies.”
In a statement from the British High Commission in Singapore, British Secretary of State for Business and Trade Kemi Badenoch said: “Our accession to CPTPP sends a powerful signal that the UK is open for business and using our post-Brexit freedoms to reach out to new markets, including in the Asia Pacific region, and grow our economy.
“Joining this influential trade bloc will help us to shape the rules of global trade with like-minded nations, and work even closer together on our shared priorities of prosperity, security and free and fair trade.”
British High Commissioner to Singapore Kara Owen noted that trade between Britain and Singapore was worth £20 billion in the 12 months up to September 2022, up 24.8 per cent from the year before.
“We continue to see very strong interest from UK companies in Singapore and the broader Asia-Pacific region,” said Owen.
“Joining the CPTPP will further strengthen our existing agreements with Singapore to grow trade and investment. We look forward to supporting UK and Singapore companies as they take advantage of all that it offers.”
