The Government has announced that it has secured a free trade agreement with Japan, which is the first major trade deal agreed as an independent trading nation.
The agreement is set to increase trade with Japan by approximately £15.2 billion, according to the Government, with the UK-Japan Comprehensive Economic Partnership Agreement being agreed in principle on Friday 11 September.
The deal is a significant step in the UK’s preparations for a post-Brexit trading environment, with the deal being tailored to the UK economy and securing benefits in addition to the current EU-Japan trade agreement.
UK businesses will have the benefit of tariff-free trade on 99 per cent of exports to Japan, which the Government estimates will boost the UK economy by £1.5 billion.
The food and drink, technology and manufacturing sectors are at the forefront of the agreement, with a significant amount of trade in these industries currently taking place between the UK and Japan.
Liz Truss, International Trade Secretary, said: “This is a historic moment for the UK and Japan as our first major post-Brexit trade deal.
“The agreement we have negotiated – in record time and in challenging circumstances – goes far beyond the existing EU deal, as it secures new wins for British businesses in our great manufacturing, food and drink, and tech industries.
“From our automotive workers in Wales to our shoemakers in the North of England, this deal will help build back better as we create new opportunities for people throughout the whole of the UK and help level up our country.”