In News
- Recently, Britain has decided to join Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP)
About
- Comprehensive and Progressive Agreement for Trans-Pacific Partnership is an 11-nation Indo-Pacific free-trade bloc.
- Its members are Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam.
- Britain will be the first new member since the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) was created in 2018, and the first European country in the bloc.
- The bloc, which is home to 500 million people, will be worth 15% of global GDP once the UK joins.
Importance for UK
- The UK sees this as a boost for its economic growth and geopolitical relations.
- The UK expects growth of £1.8 billion ($2.23 billion) each year over the long-term.
- The UK also believes membership will give it a role in setting regional trade rules over the coming decades. It could mean the UK and other members preventing China’s future accession to the bloc.
- Membership will eventually ensure zero-tariff trade across a range of import and export sectors, with greater UK access to Mexico, Canada and Japan for dairy exports, and a boost to Britain’s automotive and alcohol industries, particularly through the export of spirits to Malaysia.
Source:LM
