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UK And New Zealand Agree Historic Trade Deal

Press Release – British High Commission

A comprehensive trade agreement between the United Kingdom and New Zealand will cutred tape for businesses, end tariffs on goods exports and create new opportunities for tech and services companies, while making it easier for professionals to live and …

· UK Prime Minister Boris Johnson seals free trade deal with New Zealand PM Jacinda Ardern.

· Boost to British and New Zealand exporters and small businesses as both countries remove tariffs and cut red tape.

· More opportunities to live and work in each other’s countries, and deeper cooperation on digital trade and climate change. 

A comprehensive trade agreement between the United Kingdom and New Zealand will cutred tape for businesses, end tariffs on goods exports and create new opportunities for tech and services companies, while making it easier for professionals to live and work in both countries.

The ground-breaking deal was agreed in a video call last night (20 October) between UK Prime Minister Boris Johnson and New Zealand Prime Minister Jacinda Ardern, after 16 months of talks by Department of International Trade negotiators.

UK-New Zealand trade was worth £2.3 billion GBP last year and is set to grow under the deal. The deal will remove barriers to trade and deepen access for the UK’s advanced tech and services companies, while making it easier for smaller businesses to break into the New Zealand market.

Tariffs as high as 10% will be removed on a huge range of UK goods, from clothing and footwear to buses, ships, bulldozers and excavators, giving British exporters an advantage over international rivals in the New Zealand import market-a market which is expected to grow by around 30% by 2030.High-quality New Zealand products loved by British consumers, from Sauvignon Blanc wine to Manuka honey and kiwi fruits, will be cheaper to buy.

UK and NZ workers will benefit from improved business travel arrangements and professionals such as lawyers and architects will be able to work in the UK or New Zealand more easily, allowingcompaniesto set up shop andbring their best talent with them. Both sides have also committed to a mobility dialogue outside the trade agreement that will consider how people-to-people links can be deepened further.

The New Zealand trade dealfollows advancedfree trade agreementsalready struck with Australia and Japan and helps pave the way for UK to join Trans-Pacific Partnership (CPTPP), a free trade area of 11 Pacific nations with a GDP of £8.4 trillion in 2020

Prime Minister Boris Johnson said:

“This is great trade deal for the United Kingdom, cementing our long friendship with New Zealand and furthering our ties with the Indo-Pacific.

“It will benefit businesses and consumers across the country, cutting costs for exporters and opening up access for our workers.

“This is a fantastic week for Global Britain. On Tuesday we raised almost £10bn in investment for the industries of the future, and this new deal will help drive green growth here and on the other side of the world in New Zealand.”

New Zealand Prime Minister Jacinda Ardern said:

“The United Kingdom and New Zealand are great friends and close partners. The historical connections that bind us run deep.

“This world-leading free trade agreement lays the foundations for even stronger connections as both countries embark on a new phase in our relationship. It is good for our economies, our businesses and our people.”

International Trade Secretary Anne-Marie Trevelyan said:

“This deal is a win-win for two like-minded democracies who believe in free and fair trade. It delivers for families, workers and businesses across Britain, and sets the stage for greater cooperation between our two nations on global challenges like digital trade and climate change.

“It is a vital part of our plan to level up the country: slashing costs and red tape for exporters, building new trade routes for our services companies and refocusing Britain on the dynamic economies of Asia-Pacific.”

British High Commissioner to New Zealand Laura Clarke said:

“This Free Trade Agreement marks an exciting new chapter in the UK-New Zealand relationship, further strengthening our people-to-people and business links. It reflects our unique and historic relationship, and our shared values and aspirations for the future.

“This Free Trade Agreement will benefit both countries by removing tariffs on goods, enabling greater investment and business mobility, supporting the green recovery, and enhancing Māori trade and investment links with the UK.

“As High Commissioner, it has been a true privilege to see this FTA through from the very early beginnings, to this point of Agreement in Principle.”

Her Majesty’s Trade Commissioner for Asia Pacific Natalie Black said: 

“The deal with New Zealand is another step forward for the UK’s growing trade ambitions in the Indo Pacific region. This alliance will boost trade in goods, promote investment and present exciting new opportunities in services and technology.

“The UK and New Zealand have agreed cutting-edge provisions to power our expansion in digital trade together. We will maximise this collaboration through our Digital Trade Network, connecting businesses across the region to increase digital innovation and improve people’s lives.”

· Source of statistics: ONS UK Trade, all countries, non-seasonally adjusted: Q1 2021 release; IMF World Economic Outlook database: April 2021 release.

Content Sourced from scoop.co.nz
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