CPTPP Will Let Britain Offer Further Benefits to Japan, Says U.K. Ambassador, Days Before Her Country Joins Pact
17:55 JST, December 13, 2024
The United Kingdom will be an even more important economic partner for Japan when it joins the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), said British Ambassador to Japan Julia Longbottom at a press briefing in Tokyo on Friday.
Her country will join the free trade pact on Sunday, and Longbottom said Japan could benefit from services and deals in digitization, cyber security, renewable energy and defense, areas in which the United Kingdom has expertise.
Although Japan and the United Kingdom already have a bilateral trade agreement, Longbottom said that companies will be able to choose to use the previous agreement or the CPTPP to trade goods and build their supply chains, which will bring them benefits.
“The U.K. is also working hard to export food and drink products to Japan,” added Longbottom, giving specific examples such as cheese and sparkling wine.
Going the other way, the CPTPP will help Japan export some varieties of white rice by eliminating tariffs.
1st deal with Malaysia, Brunei
The United Kingdom applied to join the pact in 2021, after its exit from the European Union, and its membership was approved in July 2023. However, the pact is projected to deliver only 0.08% growth to the United Kingdom’s GDP over the long term.
Nonetheless, Longbottom stressed the importance of the pact. “CPTPP gives us trade deals with Malaysia and Brunei for the first time, the two countries which we didn’t have bilateral trade agreements [with],” she said. She expects more countries to join the CPTPP.
Asked whether her country could rejoin the EU, she said Prime Minister Keir Starmer had made clear that there is no question of rejoining the EU, adding, “I think the government wants to look forward, not backwards and not to go back over the debates of the past.”
Shaping trade rules
The ambassador said that the United Kingdom joining the treaty showed the country is committed to the Indo-Pacific region for the long term. As the region is set to be a major leader of global economic growth, she said, “Joining CPTPP is not just about the current economic benefits, but also about access to the economic benefits or opportunities of the future.”
She also said that the CPTPP would help her country shape global trade rules and norms to support the British values of free, open and fair trade.
As to U.S. President-elect Donald Trump’s threats to impose tariffs, Longbottom said she had no confirmation yet about his trade policy. “What is clear is that the U.K. and the United States have a special relationship,” she said.
Asked about applications from China and Taiwan to join the CPTPP, Longbottom replied, “Any country or economy that wishes to join … must fulfill the Auckland Principles.” The principles include meeting certain high standards of the CPTPP and demonstrating a record of compliance with existing trade commitments.
The United Kingdom is the first European country to join the CPTPP, bringing total membership to 12 countries. The other members are Japan, Singapore, Chile, New Zealand, Vietnam, Peru, Malaysia, Brunei, Australia, Canada and Mexico.
The United Kingdom will be able to use the CPTPP framework in trades with eight countries — Japan, Singapore, Chile, New Zealand, Vietnam, Peru, Malaysia and Brunei — from Sunday, as well as with Australia from Dec. 24. The United Kingdom will be able to use the framework with Canada and Mexico beginning 60 days after they complete domestic procedures.
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