London’s China policy could draw pressure from allies

Significance

The forum, which facilitates bilateral talks on trade, investment and other economic issues, has not been convened since 2019. The Labour government needs economic growth and has given no indication that it is considering following the EU or US policy of imposing tariffs on China.

Impacts

• The United Kingdom will be a laggard among Western states on the erection of protectionist trade policies.
• Labour’s approach to trade with China will be influenced by the level of Chinese retaliation against the EU in response to EU tariffs.
• Negotiations for China to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership will likely be protracted.