A better solution than protectionism is the inclusion in trade agreements of rules that protect against inconvenience. The pros and cons of free trade agreements have effects on jobs, business growth and living standards: British and US negotiators have put in place a broad framework for a comprehensive free trade agreement, but the upcoming US presidential elections put pressure on the timetable to reach a broad agreement (the US Trade Promotion Authority, which allows Congress to accelerate a potential deal, expires in July 2021). January 2021 could also be a particularly difficult time for the UK in the event of an abrupt halt to its participation in European supply chains and standards. But if both sides manage to overcome these obstacles, a free trade agreement between the US and Britain could steer the British economy towards North American markets and perhaps justify closer integration measures in the agreement between the US, Mexico and Canada. If a UK-U.S. A free trade agreement cannot be concluded before the end of the year, the British government will not be able to immediately demonstrate the benefits of Brexit, while the British people will live its costs vividly. In June 2019, after twenty years of negotiations, an agreement in principle on trade between the EU and Mercosur (Argentina, Brazil, Uruguay and Paraguay) was concluded. The free trade agreement BETWEEN the EU and Mercosur is important for our companies, as trade flows between the EU and the Mercosur countries amount to €17 billion per year. Free trade agreements are treaties that govern customs duties, taxes and tariffs imposed on countries on their imports and exports.
The most well-known regional trade agreement in the United States is the North American Free Trade Agreement. Countries can insist that foreign companies build local factories as part of the agreement. They may require these companies to share technology and form a local workforce. International trade organizations such as the World Trade Organization (WTO) generally limit tariffs and trade barriers, so the attempt to conclude a balanced trade agreement would conflict with accession agreements. Free trade agreements are intended to increase trade between two or more countries. Strengthening international trade has the following six main advantages: the development of trade potential. A free trade agreement between two advanced economies has little to do with reducing tariffs, which are already very low (some of the highest UK tariffs are 10%, in the case of cars). The benefits, as would be the case in the case of a potential free trade agreement between the US and the EU, stem from the harmonisation and harmonisation of standards and rules. According to credible estimates, this could amount to an additional 0.16% of GDP for the UK over the next 15 years, removing tariffs and reducing other barriers by 50%. In whole or in part, regardless of EU rules, the UK could adopt more US standards for its goods and services, with a few exceptions for those transiting through Northern Ireland.
Conversely, the US could choose to adopt more UK or European product standards in a number of areas. As these two maritime states map new bilateral trade waters, there will be exciting economic benefits to sailing and avoiding dangerous depths, while using a new navigation compass: the UK`s exit from the European Union and its internal market. Over the past 47 years, the UK has aligned itself with EU standards and regulations and not the US. The reorientation of the UK market from the European Union, its largest export market, is in itself an important strategic decision. The macroeconomic impact of Brexit could reduce UK GDP by 5-10%. In addition to a free trade agreement between the United States and Britain, Britain must also negotiate its trade relations with other countries, including Commonwealth countries such as India and Australia, which are promising and which may eventually call into question or reduce elements of a free trade agreement between the United States and Great Britain. But where will the country go in the future? A selective independent route? The United States or a North American trade orientation? A Commonwealth approach? A Focal Point of the Pacific? In the nineteenth century, the United Kingdom was the most powerful trading nation in the world….