CPTPP Trade Agreement Goes Live This Month
After the UK joined the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) last year, the scheme finally becomes effective for businesses this month.
The UK becomes the twelfth member of CPTPP, taking the combined GDP to over 12 trillion pounds, with UK businesses able to benefit from the scheme from December 15th.
From that date, CPTPP will be effective for the following countries:
- Brunei
- Chile
- Japan
- Malaysia
- New Zealand
- Peru
- Singapore
- Vietnam
From December 24th, Australia will also be included.
Currently, CPTPP members Canada and Mexico have not fully ratified the UK agreement and there will be a 60 day cooling off period when they do.
CPTPP is a free trade agreement which could open up opportunities and improve market access for UK businesses by reducing tariffs and other trade barriers.
An estimated 99% of products will benefit from duty-free status under CPTPP preference. However, exceptions may apply where other trade agreements are in place, or for particular commodity codes.
While CPTPP does not require a specific preference statement for duty relief, there are certain documentary requirements. For more information, please do not hesitate to contact a member of our Customs team.
