Trade Agreement Continuity Programme

Trade Agreement Continuity Programme

When the UK withdraws from an agreement, the EU has agreed, as part of the withdrawal agreement, to notify the contracting parties that the UK will be treated as a member state under its international agreements (IP) until December 2020. This approach ensures continuity and gives businesses and international partners the security and confidence they need. 4. Agreements have been signed with countries that account for 74.6% of UK trade in 2018 with countries with which we seek continuity. 2) After 31 December 2020, an agreement is expected to enter into force before this agreement enters into force. Some countries raise specific issues in the context of the transition of trade agreements. For example, Turkey is in a unique situation, as it is in a partial customs union with the EU. It is therefore not a free trade agreement relationship that already exists and can be technically transposed to the United Kingdom. That is why, in the event of the UK`s withdrawal from the EU, it will not be possible to change these rules on the first day of withdrawal. However, Turkey is an important partner for the UK and we want to strengthen our trade partnership as soon as we leave the EU. The Government is committed to exploring all options to allow for the continuity of trade and will move them forward with Turkey as soon as possible. For the same reasons, if we do not agree by 29 March, we will not conclude any agreement on commercial continuation with San Marino or Andorra. A Mutual Recognition Agreement (MRA) is an agreement in which countries recognize the results of the other`s compliance assessment.

5. This means that we have already ensured the continuity of British trade to the amount of $109.4 billion. This has increased by $40.9 billion since March. Implementing a withdrawal agreement negotiated with the EU remains the government`s top priority. Nevertheless, we continue to prepare for any eventuality, including «no agreement.» That is why, in recent months, the Government has refocused discussions with third countries on transitional trade agreements, which should come into force on the first day after we leave the EU if the UK leaves the EU without a withdrawal agreement. From the beginning, we have been open and transparent with regard to the EU with regard to this programme of work. The Norwegian agreement, which has not yet been released, probably only covers goods, as it has separate agreements with the EU on goods and services. This is likely to lead to the abolition of tariffs, but it is likely to create the same challenges as Switzerland in terms of mutual recognition issues. A services agreement, if ever concluded, will offer nothing to tariffs (which do not apply to trade in services) and will leave little room for regulatory convergence due to Norway`s participation in the EU internal market.

The UK has signed MRA which overlaps with the effects of existing EU agreements.

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