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Theresa May in Canada for post-Brexit trade talks | |
(about 1 hour later) | |
Prime Minister Theresa May has said she expects a "seamless transition" to a new trading relationship with Canada after the UK leaves the EU. | |
She is in Ottawa ahead of a new trade deal between the EU and Canada coming into effect on Thursday. | |
Mrs May's trip is also focused on a trade dispute that could threaten aerospace jobs in Northern Ireland. | |
She has previously lobbied the US about the row involving Canadian firm Bombardier and Boeing. | |
Boeing has complained about alleged anti-competitive practices in the sale of Bombardier's CSeries jet - and Bombardier, which employs 4,500 people in Belfast, could face significant financial penalties if the US trade authorities find against it. | |
Mrs May hopes the upcoming trade deal between Canada and the EU, the Comprehensive Economic and Trade Agreement (Ceta), will be a model for a bilateral trade deal for when the UK is excluded from Ceta after Brexit. | |
Mrs May said: "We have agreed today that Ceta should be swiftly transitioned to form a new bilateral arrangement between UK and Canada after Brexit... | |
"We want to ensure that when we leave the European Union, for businesses and people, that change is as smooth and orderly as possible. | |
"And working on Ceta as becoming the first of the bilateral trade relationships between the UK and Canada that means that seamless transition can take place." | |
Under the EU-Canada agreement, which took seven years to negotiate, Canada agreed to eliminate 98% of its import duties. | Under the EU-Canada agreement, which took seven years to negotiate, Canada agreed to eliminate 98% of its import duties. |
Mrs May said there would be a new working group to prepare the groundwork for a separate deal. | |
'Shared values' | 'Shared values' |
Under EU membership rules, the UK is prohibited from implementing a foreign free trade agreement until it leaves, so has instead set up working groups abroad, including with Japan, the US and Australia. | Under EU membership rules, the UK is prohibited from implementing a foreign free trade agreement until it leaves, so has instead set up working groups abroad, including with Japan, the US and Australia. |
The UK-Canada bilateral trade relationship is thought to be worth £15.2bn a year, while Britain is the second-biggest destination for Canadian investment abroad, with £1.75bn invested in the country since March. | The UK-Canada bilateral trade relationship is thought to be worth £15.2bn a year, while Britain is the second-biggest destination for Canadian investment abroad, with £1.75bn invested in the country since March. |