There’s been plenty of discussion about the UK/JPN #trade deal this week, and without wishing to belittle the importance of the price of soy sauce, the #automotive chapter is probably more important to the UK econ.

Putting aside a deal with the EU, an FTA with JPN is arguably the most important for UK #automotive, closely followed by deals with Turkey (which is only possible with an EU deal), Mexico, Canada, & S. Korea.

All of these are part of a complex web of deals that #automotive needs to replicate the benefits it currently enjoys through FTAs negotiated by the EU.

UK #automotive is export driven (it remains the UK’s largest exporter of goods & generated £100 billion in total trade last yr), global (selling UK built vehicles, engines & components to 150 countries) &...

...highly integrated (importing components, from countries right around the world), so ensuring the continuation of preferential trading terms is critical to the sector’s ongoing success.

UK #automotive also attracts significant foreign direct investment, which has multiple positive spillover effects, and in this context the deal with JPN is particularly important, and should be welcomed.

For automotive, the JPN deal is good news, not simply because any deal is better than reverting to WTO terms...

... but because the content closely reflects what the sector needs, as set out in this excellent thread from @TradeAlemaro (you won’t find anyone more expert in matters related to trade & UK #automotive, & if you’re not already, you shld follow). https://twitter.com/TradeAlemaro/status/1321743663777648640?s=20

So this is a win, & in a wk when @tradegovuk have received much justified criticism, it shld be praised for what it has achieved here. It’s negotiators were up against the clock, COVID, & a hugely experienced team from JPN & success couldn’t be taken for granted.