On Monday, the EU and the UK opened hostilities in Brexit’s next chapter, laying down tough red lines for a post-divorce future following the UK’s withdrawal from the bloc. Boris Johnson said he wants Britain to have a Canada-style free trade agreement with Brussels once the Brexit transition period finishes at the end of the year. However, Mr Barnier claimed that the UK must sign up to “specific and effective” guarantees to ensure fair competition and prevent it from undercutting EU rules and regulations.

The disagreement is a further sign that the second phase of Brexit is set to be the biggest showdown yet in the terms of the UK-EU relationship, but according to former International Trade Secretary Liam Fox, Britain might have a trick up its sleeve.

In a new episode of ‘Chopper’s Brexit Podcast’, the Conservative MP claimed that the country is now looking West, into a new trading area, which could compete with the EU and put pressure on the bloc to agree terms with the UK by the end of his year.

He explained: “The CPTPP – the Comprehensive and Progressive Agreement for Trans-Pacific Partnership – is the grouping that was first negotiated with the Americans, but then they pulled out.

“Everyone thought it would collapse but then Japan took on the leadership and completed the Agreement.

“It contains a lot of the countries that Britain currently trades with, including Australia and New Zealand.

“Japan, of course, is in there, Singapore and Vietnam.

“Basically a lot of the countries that we have got a lot of interest are in there.”

Dr Fox noted that if Britain does join, it will completely change global trading dynamics.

He said: “CPTPP+Britain is about the same share of global trade as the EU minus Britain.

“But perhaps more important is the fact that if Britain were to join CPTPP, it might make it easier for a future US administration to come back, given that it would be a slightly different entity with the UK in it.

“That’s got a lot of attraction for some congressmen.

JUST IN: ‘We should have listened!’ Hugh Gaitskell’s prophetic anti-EEC speech

“If the US were to join after Britain, we are talking about a trade grouping, which represents 42 or 43 percent of the entire world’s GDP.”

When asked when he can see this happening, Dr Fox claimed by the end of 2021.

He also noted that the partnership could benefit Britain in negotiations with Brussels.

He added: “It does bring us leverage.

“That’s for sure.

“But I think the EU is also preoccupied with its own naval.

DON’T MISS:
Dan Hannan calls for three constitutional reforms Boris should adopt [EXCLUSIVE]
How Queen SLAPPED Tony Blair in the face with ugly truth [REVEALED]
How EU was UNDERMINED by minister’s brilliant ‘flag snub’ [INSIGHT]

“It still has a particular model it wants to follow. I think two things from now.

“One is it shows that we were right when we said we couldn’t have the status quo because Europe is metamorphosing into a single state.

“Their aim is an ever closer union.

“I think they also have an economic model, which they are going to try to impose on the rest of the world.

“They will find that they are the odd man out.”

According to Christopher Hope, the Telegraph’s chief political correspondent, Britain’s accession to CPTPP by the end of next year, just when the UK takes over the presidency of the G7 group of advanced nations, should be the ultimate goal.

The 11 CPTPP economies represent 13 percent of the world’s GDP – making it the third largest free-trade area in the world after the North American Free Trade Agreement and EU.

One UK Government source told the publication: “New Zealand is the cabinet secretariat for the CPTPP – so as soon as we do deals with them it will make it very easy for us to accede to the CPTPP.

“Japan has made positive noises that we can get something tied up by the end of the year, and then if can get Australia or New Zealand or both in the next 18 months then it means that accession to the CPTPP could be in the next two years.”

The source added candidly: “All of the rest of our trade negotiations are about using the stick against the EU.”

Source: Read Full Article