The UK has signed a new trade agreement with Australia, the first deal negotiated from scratch since leaving the European Union.
Almost all Australian tariffs, typically 5% on many machines, are eliminated subject to Rules of Origin requirements. The deal is said to give unprecedented access to Australian markets for service providers and investors and there are improved arrangements for work visas for engineers and other workers, which will not be subject to the skilled occupation list.
There is much to study in detail, not least the Rules of Origin (RoO) requirements. The UK content levels required under the RoO indicate what we might expect to see not only in this agreement but in our future free trade negotiations.
The government has committed to working to explain the deal in straightforward terms to assist firms to benefit from the agreement, which is due to come into force after going through scrutiny and parliamentary processes. Link: UK and Australia sign world-class trade deal - GOV.UK (www.gov.uk)
The signing of the agreement comes shortly after trade minister Penny Morduant’s assertive speech in the US about the UK’s newly-independent approach to trade: Minister Mordaunt speech at the Carter Center, Atlanta, Georgia - GOV.UK (www.gov.uk)
*Australia’s trade negotiations with the EU have been delayed. It was widely reported in October that talks had been put back to 2022 as a consequence of the cancellation of Australia’s purchase of submarines form France