The UK government is reportedly exploring the possibility of requesting to join the Trade Agreement between Mexico, the United States and Canada (T-MEC or USMCA, for its acronym in English), reported media such as Bloomberg and the Financial Times.
Although London has yet to make an official statement confirming or denying its intention to join the North American trade agreement, this would be a reason to do so.
Why do you want to join?
According to BloombergBoris Johnson’s government does not rule out becoming a member of T-MEC considering it would be easier than negotiating a Free Trade Agreement with the United States alonebecause this will not be a priority for the Joe Biden administration, whose first term ends in 2024, the same year that there are elections in Great Britain.
Likewise, a trade agreement of this magnitude would be a gift to Britain once Brexit is over and it no longer has access to Europe’s free markets.
Can a fourth country enter T-MEC?
A spokeswoman for the U.S. Trade Representative’s office told Bloomberg that have not received an application to join the Treaty between the United States, Mexico and Canada, known as T-MEC, adding that there is no accession clause in the agreement.
However, one of the deal’s negotiators, Kenneth Smith Ramos, who led technical talks for Mexico in 2017 and 2018, told US media that while it is theoretically possible that el The UK joins T-MEC, which will require a consensus between Countries United States, Mexico and Canada to accept the nation, “a potentially complicated proposition.”
What benefits will it bring to England?
The UK strengthens ties with its strategic partners after leaving the European Union. Today the President of the United States, Joe Biden, and the Prime Minister of the United Kingdom, Boris Johnson, met at who has discussed trade and praised alliances with countries on defense, referring to the controversial three-way agreement with Australia under the acronym AUKUS, under which they seek to share technology and ensure their cybersecurity, in addition to developing a range of submarine and long-range systems.
This agreement, called the AUKUS pact, has caused a crisis between countries and France, because it means Canberra breaches a $66,000 million contract with French shipping company Naval Group.
“I think we are pushing our common agenda. We want to rebuild the world with you (Biden). And I think we want to renew and strengthen our transatlantic ties. And I think it’s going very, very well,” Johnson also added to the White House tenants.
Trade is one of the main issues Johnson is looking to deepen with Biden. In fact, the US president indicated that the meeting would serve to talk about trade, an aspect in which he has assured “we have to work”, while Britain’s priority is to reach a free trade deal with Washington post-Brexit.
How was British trade with North America?
United States trade with Britain is 273 billion dollars in 2019with a favorable surplus for Washington of 21.8 billion.
In the same year, trade between Canada and the UK is 20,550 million dollarswith a balance of 7,050 million dollars for Ottawa.
While Mexico and the European empires had trade $5 billion per yearwith a slight surplus for London.
With information from Bloomberg and Europa Press.
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