With U.S. trade deal stalled, UK pairs up with Indiana -Breaking
Andrea Shalal and Alistair Smout
LONDON/WASHINGTON – Britain will sign the first state-level agreement with Indiana (US corn belt) on Friday. There are more in London’s plans to grow commercial ties despite Washington’s decision not to resume talks for a national-level deal.
Britain is working in partnership with 20 other countries to reach individual trade deals. Washington does not have a wider deal, Penny Mordaunt from trade policy has stated.
Ranil Jayawardena International Trade Minister, will sign Friday a Memorandum Of Understanding (MoU), along with Eric Holcomb of Indiana. Additional deals will follow.
We are prepared to move negotiations for a free United States trade agreement when the U.S. will allow it. Jayawardena stated that the U.S. doesn’t wish to wait, and therefore they are pursuing these economic and trade agreements.
While he declined to give details before the MoU was signed, he said that it would lower barriers to market entry for British companies, possibly increasing jobs and wages within areas like advanced manufacturing and pharmaceuticals.
It would streamline the procurement process, make it easier for academics and allow them to share more freely.
The UK currently purchases more than $1.5 Billion worth of Indiana goods and services annually. This represents 1% of all U.S. exports.
U.S. trade deals are typically negotiated at the national level. However, foreign governments long seek to establish stronger relationships with specific states and cities.
London used to view a deal of free trade with the United States one of the greatest prizes in leaving the European Union. All hopes of reaching an agreement quickly were dashed by the Biden administration, which froze all free trade discussions.
The two sides have reached an agreement to continue a strategic dialogue regarding the expansion of their $260 billion bilateral trade relation. Another round will be held in Boston this June.
Britain’s foreign policy shift towards the Pacific has seen it advance post-Brexit trade negotiation efforts, including talks with Canada (and Mexico)
London officials still believe that talks with Washington will lead to an overall free trade agreement.
Some U.S. lawmakers who have to approve trade agreements say there cannot be a trade agreement with Britain if Britain plans to unilaterally remove some of the rules governing trade between Northern Ireland and the European Union that were part of the exit deal.