The UK has signed a trade deal with Mexico which guarantees tariff-free trade and other benefits for British businesses and consumers.

As per a TexIntel report, the UK-Mexico Trade Continuity Agreement particularly benefits the automotive, pharmaceutical, textiles, agriculture, food and drink industries and other manufacturing industries.

Both countries have also committed to start negotiating a new and ambitious free trade agreement next year, which will go much further than the existing deal.

This agreement also represents another step towards the UK’s accession to the Comprehensive and Progressive agreement for Trans-Pacific Partnership (CPTPP), to which we aim to apply for formal accession in early 2021. Both sides have agreed that our future bilateral negotiations should run in parallel to this process.

Joining CPTPP would put the UK at the centre of an increasingly influential trade network of 11 dynamic economies in the Indo-Pacific region that already accounts for 13 per cent of global GDP and would rise to 16 per cent with our accession.

This agreement also guarantees UK businesses the assurance to operate in the Mexican market. It could save around £59 million worth of duties that would have been levied on UK exports to Mexico under WTO terms.