UK businesses secure full access to global trading bloc

British businesses can now access enhanced opportunities in economies in the Americas and Asia-Pacific regions worth almost a combined £10 trillion, as the UK’s membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) is ratified by members.

The UK signed the CPTPP in 2023, with full membership now taking effect as the final country in the group, Canada, ratified Britain’s accession. The agreement with 11 countries (Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam) is expected to deliver around £2 billion per year to the UK economy through boosted opportunities for exports for British businesses.

Over 99% of current goods exports to CPTPP member countries will be eligible for zero tariffs, improving goods market access for British firms. Consumers and businesses will also benefit from cheaper import prices.

The agreement also brings enhanced access to each other’s public procurement markets, which creates new opportunities for expanding access in sectors such as air transport, accounting and financial services for UK businesses.

Businesses have already been benefitting from the CPTPP, with agri-tech firm EmTech taking advantage of expanded business mobility to export its products to member countries.

Ken Baker, Managing Director, EmTech Hatchery Systems said:

“The CPTPP’s business mobility benefits have already benefitted EmTech’s export activity, particularly in Peru and Mexico where we have already exported our innovative technology.

“We have also exported our products to Canada and are hopeful that the UK’s full accession to the CPTPP will create further opportunities in this market for growth in the future.”

Following the UK’s accession to the CPTPP, the trade bloc includes economies totalling £12.9 trillion, and set to grow further. Costa Rica’s government is expected to approve joining the treaty this year, while negotiations for Indonesia, the Philippines, Uruguay and the United Arab Emirates to join are currently underway. Other countries to have expressed an interest in joining the bloc include China, Taiwan, South Korea, Cambodia, Thailand, Argentina, Ecuador and Ukraine.