Tag #Tariff-Free Trade

How does the potential UK participation in the PEM impact the Brexit 'reset' and the Labour Party's stance on EU relations?

Following a meeting between Labour's Business Secretary Jonathan Reynolds and EU trade commissioner Maros Sefcovic, the possibility of the UK joining the Pan-Euro-Mediterranean Convention (PEM) is under discussion. This tariff-free trade scheme would bypass EU 'rules of origin', potentially benefiting UK manufacturers using non-EU components, like Egyptian cotton. However, a Centre for Inclusive Trade Policy study suggests the benefits may be minimal due to the low proportion of non-EU components in British exports.