Graphic shows Britains trading partners in 2019.
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BUSINESS

Britain’s trading partners

By Duncan Mil

May 20, 2020 - Britain has set out a new post-Brexit global tariff regime which will ensure that 60% of trade will come into the UK tariff-free -- compared to 47% currently -- from January 2021.

The new UK Global Tariff (UKGT), which replaces the EU’s Common External Tariff, removes tariffs on £30 billion-worth of imports entering UK supply chains. There will be zero tariffs on products used in UK production, including copper alloy tubes (down from 5.2%) and screws and bolts (down from 3.7%).

International Trade Secretary Liz Truss said in a statement that UK consumers would also benefit from more choice and lower costs on various goods thanks to zero tariffs. These include, for example, dishwashers (down from 2.7%), freezers (down from 2.5%), and sanitary products and tampons (down from 6.3%). Tariffs on cooking products will also fall, with baking powder down from 6.1%, yeast down from 12%, bay leaves down from 7%, ground thyme down from 8.5%, and cocoa powder down from 8%.

The UK will also scrap the EU’s complex Meursing table for agricultural goods, which included over 13,000 tariff variations on products like biscuits, waffles, pizzas, quiches and confectionery.

One advantage of London’s announcement is that it will clarify what the default duties would be in its ongoing trade talks with the EU, U.S. and Japan.

PUBLISHED: 20/05/2020; STORY: Graphic News; PICTURES: Getty Images
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