CPTPP: UK accepted into Indo-Pacific trade bloc in biggest trade deal since Brexit

Published

2 years ago

March 31, 2023

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The UK has been accepted into an Indo-Pacific trade bloc in what the government says is its biggest trade deal since Brexit.

The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) is a free trade agreement between 11 countries across the Indo-Pacific, including Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam – and now the UK.

The partnership sees the countries open up their markets to one another, reducing trade barriers and tariffs, with the hope of bolstering the economies of its members.

Sunak hails UK joining CPTPP – live politics updates

Trade Secretary Kemi Badenoch said the UK’s accession to the CPTPP was formally confirmed in a telephone call between her and counterparts from the group at 1am BST on Friday.

The UK is the first European country to enter the agreement, and the government claims it will lead to a £1.8bn boost to the economy “in the long run”.

Prime Minister Rishi Sunak said the deal shows “what we can achieve when we unleash the benefits of Brexit”.

While the UK already has trade agreements with most of the CPTPP members, apart from Malaysia, UK officials said it would deepen existing arrangements, with 99% of UK goods exported to the bloc now eligible for zero tariffs.

This includes cheese, cars, chocolate, machinery, gin and whisky, while Downing Street said the services industry would also enjoy “reduced red tape and greater access to growing Pacific markets”.

The deal has been praised by a number of business groups, including the Confederation of British Industry (CBI), Standard Chartered bank and the world’s second-largest wine and spirits seller Pernod Ricard.

But other trade experts have warned it will not make up for the economic hit caused by leaving the European Union.

Chancellor Jeremy Hunt said joining the CPTPP is a “massive opportunity” for British exporters and shows “our influence in this part of the world is becoming more significant”.

Ms Badenoch told Sky News the difference between being part of the CPTPP and the EU is “we make the rules and regulations on our standards”.

She promised the deal is “not going to displace farmers in the UK” and said it will provide more competition for EU countries so “people don’t have to buy what they don’t want”.

Ms Badenoch admitted the lower tariffs will apply to palm oil, which is responsible for destroying orangutan habitats, but said you “have to make trade-offs” when doing a deal and said the UK currently buys 1% of Malaysia’s exports and “moving to 2% from 1% is not what is going to cause deforestation.”

She claimed the UK will have “more influence” on sustainability as part of the bloc – despite Greenpeace calling the deal “outrageous”.

“Palm oil is actually a great product, it’s in so many of the things we use,” she added.

“This is not some illegal substance we’re talking about and actually there are other crops in the EU that are causing deforestation that fit within EU rules.”

The UK began negotiations to join the bloc in September 2021 when Boris Johnson was in Downing Street.

The signatory countries of the CPTPP are home to 500 million people and the government claims the deal will be worth £11 trillion in GDP, accounting for 15% of global GDP.

However, critics said the impact will be limited, with official estimates suggesting it will add just £1.8bn a year to the UK economy after 10 years, representing less than 1% of UK GDP.

Mr Sunak said the agreement “puts the UK at the centre of a dynamic and growing group of Pacific economies”.

“We are at our heart an open and free-trading nation, and this deal demonstrates the real economic benefits of our post-Brexit freedoms,” he added.

“As part of CPTPP, the UK is now in a prime position in the global economy to seize opportunities for new jobs, growth and innovation.”

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‘Real milestone for British industry’

The announcement was welcomed by business group the CBI which called it “a real milestone for the UK and for British industry”.

Interim general director Matthew Fell said: “Not only does the agreement provide greater access to a group of fast growth economies representing 14% of global GDP and over 500 million consumers, but membership reinforces the UK’s commitment to building partnerships in an increasingly fragmented world.

“CPTPP countries and business need to work together to future-proof the rules-based trading system and stimulate growth with a focus on digital, services and resilient supply chains.”

Labour said the agreement represented “encouraging” progress but it needed to see details.

The party’s shadow trade secretary Nick Thomas-Symonds said: “The Conservative government’s track record in striking good trade deals is desperately poor.

“Other countries joining CPTPP arrangements have secured important safeguards and put in place support for their producers: it is vital that ministers set out if they plan to do the same.”

‘EU should be priority’

The Institute of Directors said it was “vital the UK signs trade deals to restore our international reputation since Brexit”.

But it added “complete reorientation” to the Indo-Pacific would not solve “the very real problem that businesses currently face – namely that they have many more trade related challenges than they did six years ago”.

“From our surveys, directors have told us that the EU-UK relationship is a priority issue the government needs to address in order to support business,” they said.

“UK companies still rely on the long-established links they have with EU markets, which are directly on our doorstep and with whom they have closer historical ties.

“The Indo-Pacific strategy will open up important opportunities for UK businesses, but the government must not forfeit the significance of our relationship with the EU in order to do so.”

World

Zelenskyy demands ‘clear position’ from Trump on ending war

Published

3 hours ago

September 16, 2025

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Zelenskyy demands 'clear position' from Trump on ending war

Volodymyr Zelenskyy has called for a “clear position” from Donald Trump to stop Vladimir Putin and end the war in Ukraine.

In an exclusive interview with Sky News’ lead world presenter Yalda Hakim, the Ukrainian president said the only way for the fighting to stop was for defined security guarantees to first be put in place.

And that, he said, could only come if Mr Trump was bold.

He told Sky News he hopes UK Prime Minister Sir Keir Starmer would drill into the detail of securing Ukraine’s future with the president during his state visit to Britain this week.

He said: “I very much hope he (Starmer) will be able to have a very specific discussion on the security guarantees of the US for Ukraine.

“Before we end the war, I really want to have all the agreements in place. I want to… have a document that is supported by the US and all European partners. This is very important.

“To make this happen, we need a clear position of President Trump.”

‘Make Putin afraid’

Mr Zelenskyy also urged the US leader to take “strong personal steps” to “stop Putin”, after Mr Trump urged NATO allies to stop buying Russian oil and put tariffs on China to pressure Moscow.

“I believe that the US is strong enough to take decisions of their own,” he said. “I believe Donald Trump can give us air defence systems in quantity and US has enough.

“I’m sure the US can apply enough sanctions in order to hurt the Russian economy, plus Donald Trump has enough force to make Putin afraid of him.

“Europe has already introduced 18 sanctions packages against Russia. And all that’s lacking now is a strong sanctions package from the US.”

His comments came following criticism in his interview with Sky News – at the Presidential Palace in Kyiv – of the recent Trump-Putin summit in Alaska.

He said Mr Trump “gave a lot to Putin” and that “he should have paid more” for it.

“I believe, if it was a trilateral meeting [with Ukraine included], we would have some result,” he added.

Putin ‘testing NATO’, warns Zelenskyy

As news broke that British fighter jets were flying air defence missions over Poland after a Russian drone incursion, Hakim asked the Ukrainian leader what message he thought Putin was sending to Europeans.

“He’s testing NATO,” he said. “He wants to see what NATO is ready for, what they’re capable of, both diplomatically and politically, and how the local population will respond to this.”

“Also, in my opinion, the other message they are sending is, ‘don’t you dare to give Ukraine additional air defence systems, because you might need them yourself.'”

Bristling with frustration – Zelenskyy’s message is clear

Yalda Hakim

Lead world news presenter

@SkyYaldaHakim

Ukraine’s president has a very clear message for Trump – you alone have the power to stop Putin, and the time to act is now.

Meeting with me in Kyiv on the eve of the US president’s state visit to Britain, Zelenskyy bristled with frustration at the failure of the Western powers to ramp up pressure on the Kremlin, even as the Russians escalated their attacks on Ukraine.

Asked if the summit between Trump and Putin in Alaska has proven a mistake, he responded without hesitation that Putin is clearly not paying a price for his actions.

Zelenskyy believes Trump is reluctant to put pressure on Putin because it might jeopardise attempts to end the war.

But the Ukrainian leader argues this isn’t the way to handle the Russian president.

Zelenskyy also argued Trump’s emphasis on getting the Europeans to ratchet up economic pressure – foremost by stopping their purchases of Russian energy and tariffing other buyers like China and India – was understandable, but that the world’s sole superpower shouldn’t wait for others to act.

Trump has called on EU countries to end all Russian oil and gas purchases – and only then will he consider imposing sanctions on Russia.

Mr Trump arrives in the UK today for an unprecedented second state visit, following an invitation from King Charles.

He and First Lady Melania will stay at Windsor Castle and be treated to a flypast by the Red Arrows as well as UK and US F-35 military jets on the east lawn, and a special Beating Retreat military ceremony.

They will also visit Chequers, the prime minister’s official country residence in Buckinghamshire, though details of what they will discuss – and whether it will include the situation in Ukraine – have not been revealed.

World

Face-to-face with Zelenskyy, his frustration with the West is clear

Published

6 hours ago

September 16, 2025

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Face-to-face with Zelenskyy, his frustration with the West is clear

Ukraine’s president has a very clear message for Donald Trump – you alone have the power to stop Vladimir Putin, and the time to act is now.

Meeting with me in Kyiv on the eve of the US president’s state visit to Britain, Volodymyr Zelenskyy bristled with frustration at the failure of the Western powers to ramp up pressure on the Kremlin, even as the Russians escalated their attacks on Ukraine.

Asked if the summit between Trump and Putin in Alaska has proven a mistake, he responded without hesitation that Putin is clearly not paying a price for his actions.

“He should have received a setback in this war and stop. Instead, he received de-isolation,” he said.

“He definitely wants to trick the US. He is doing everything he can to avoid sanctions, to prevent the US and Trump from putting sanctions on him.”

Zelenskyy believes Trump is reluctant to put pressure on Putin because it might jeopardise attempts to end the war.

But the Ukrainian leader argues this isn’t the way to handle the Russian president: “He understands force. That’s his language. That’s the language he understands. He doesn’t speak many languages, but that’s the language of force he understands – just like Russian, you know, his mother tongue.”

Zelenskyy also argued Trump’s emphasis on getting the Europeans to ratchet up economic pressure – foremost by stopping their purchases of Russian energy, and by putting tariffs on other buyers like China and India – was understandable, but that the world’s superpower shouldn’t wait for others to act.

Trump has called on EU countries to end all Russian oil and gas purchases, and only then will he consider imposing sanctions on Russia.

“I think the US is strong enough on its own,” Zelenskyy said.

“They can make this happen quicker and all that’s lacking now is a strong sanctions package from the US.”

World

Russia and Belarus’s military drills are part-theatre – but Moscow is trying to send a message

Published

9 hours ago

September 15, 2025

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Russia and Belarus's military drills are part-theatre - but Moscow is trying to send a message

At times, the sound of these military drills was deafening.

There were fighter jets screaming overhead, air strikes on “enemy” forces, and tracer rounds from artillery units pounding out of the barrels.

Fireballs and mushroom clouds would periodically appear far off on the landscape, followed by a sudden explosive thud several seconds later.

I was watching from the safety of a viewing platform, along with other members of the international media.

But even at that distance, the various blasts were still powerful enough to reverberate through me.

This was the fourth day of ‘Zapad-2025’ – the joint military drills Russia holds with Belarus roughly every four years.

It took place at a training ground near the city of Borisov in Belarus, 150km from the Lithuanian border.

Moscow and Minsk insist the exercises are “defensive”. In this case, they said they were gaming out how they would respond to an attack by a NATO member.

But as I watched, I couldn’t help feeling that the training aspect was only one part of it.

The other part felt like theatre – a show of strength designed to intimidate those watching across the border on Europe’s eastern flank.

The drills were smaller than previous years, most likely because Russia still needs its troops and equipment at the front in Ukraine.

But it still felt like Moscow was trying to send a message here – that despite the costs and casualties incurred fighting Kyiv, it’s still a force to be reckoned with.

For Belarus’s neighbours, these are anxious times. The last Zapad drills in 2021 were used as a springboard for Russia’s invasion of Ukraine a few months later. And so this time, Poland has closed its border, and like Lithuania, it’s holding military drills of its own.

Afterwards, I tried to catch up with some of the defence dignitaries from foreign militaries, who had been invited to observe the drills. I wanted to see what they made of the show.

“A very good demonstration,” a senior officer from Pakistan told me, declining to give his name.

“It gives us an insight of how war is being fought, with new technologies, in this part of the world.”

But what about Poland’s concerns?

“Are they right to be nervous?” I asked. “Would you be nervous if you were next door?”

“Why would I be nervous?” he replied. “Being Pakistani, I know what I’m capable of. So I shouldn’t be nervous by somebody else doing exercises.”

“So NATO has no need to worry?” I continued.

“No, I don’t think so. NATO shouldn’t be worried.”

There were actually some representatives from NATO members among the observers.

Delegations from Hungary and Turkey are no surprise – both countries have good relations with Moscow – but a team from the United States did raise eyebrows.

A further sign, it seems, that the Trump administration is seeking to build bridges with the Kremlin, despite the lack of progress towards a Russia-Ukraine peace deal.

Unfortunately, none of those officials would answer my questions. Wary, perhaps, of sticking their head above the parapet, as the alliance seeks to present a united front.