President Erdogan describes trade agreement between UK & Turkey as most important
Following the latest development the UK has gone through, Turkey and UK agreed a historic trade deal on December 29, ahead of Britain’s formal departure from the EU. Turkish President Recep Tayyip Erdogan described the agreement as the most important trade agreement since Turkey’s 1995 customs union agreement with the EU. He said, “I hope that we are entering a new era in which both Turkey and Britain will benefit.”
Before the deal was concluded, UK International Trade Minister Liz Truss said she hoped the move would help support the trade relationship between the two countries, noting that the agreement would guarantee thousands of jobs in the UK’s manufacturing, automotive and steel industries.
The deal secures existing trade ties, valued at US$25.2 billion in 2019, including Turkey’s exports to the UK. Turkey’s exports to the UK mainly consist of precious metals, various vehicles, textiles and electrical equipment. Britain is Turkey’s second largest export partner after Germany. The deal benefits the trade ties, as Britain and Turkey, two close allies at the time, eliminate export taxes and thus avoid financial losses.
Such a deal had long been expected. During a visit to London in early July last year to meet with counterpart Dominic Raab, Turkish Foreign Minister Mevlut Cavusoglu had said the trade deal between Britain and Turkey was “very close.” The deal also raises the possibility that Turkey and Britain will forge stronger economic ties over the next decade. From an economic point of view, the deal will also benefit the UK, as it is one of the strongest economies among Turkey’s non-EU allies.
