Türkiye, UK to launch talks for upgraded FTA by end of July
LONDON
Türkiye and the United Kingdom have agreed to launch the first round of talks for an upgraded free trade agreement (FTA) by the end of July.
Trade Minister Ömer Bolat and Deputy Trade Minister Mustafa Tuzcu met with Secretary of State for Business and Trade Jonathan Reynolds and Minister of State for Trade Policy and Economic Security Douglas Alexander in London on May 7 to discuss how to grow the U.K. economy by boosting trade, said a statement by the U.K.’s Department for Business and Trade.
The ministers affirmed the importance and strength of the U.K.-Türkiye trading bilateral relationship, committed to continuing to pursue closer cooperation and increased trade and investment, and underlined the importance of defending free trade, the statement added.
The U.K. is Türkiye's third-largest export destination, with exports totaling $15.3 billion, while Türkiye imported $6.9 billion in goods from the U.K. last year.
Economic relations between Türkiye and the U.K. are gradually strengthening, and “we believe that we have enough ambition, motivation, and driving force to sign the modernized FTA soon,” Bolat said.
Bolat made these remarks at the Türkiye-U.K. Business Forum, which was organized by the Foreign Economic Relations Board (DEIK) and the Institute of Directors (IOD) in London.
The minister added that British companies' investments in Türkiye reached $9 billion in 2023, and that "this is a clear indicator of the confidence of British investors in the growth and potential of the Turkish economy."
Noting that Turkish companies have invested $4.3 billion in the U.K., Bolat said the contracting sector is one of the most important.
“Despite these significant figures, we believe that Türkiye-U.K. cooperation as strategic partners still has high potential. Updating the FTA and expanding it to new areas will be an important opportunity to strengthen this economic cooperation," he said.
He highlighted that important steps for the two countries' trade were taken as part of the delegation's meeting Reynolds and that the "Technical Barriers to Trade" chapter and the "Chemicals and Motor Vehicles" annexes to this chapter were signed.
These agreements aim to remove technical barriers that prevent trade between the two countries, which accounts for roughly one-third of our $22 billion mutual trade, or approximately $7.5 billion, according to Bolat.
"Thus, automotive products and chemicals, in particular, have an easier time entering the U.K. market. It is an agreement that removes technical barriers, and the U.K. accepts Turkish standards as compliant," Bolat explained.
"Additionally, we agreed to hold the 8th session of the Türkiye–United Kingdom Joint Economic and Trade Committee [JETCO], where we will comprehensively assess our trade relations, in London later this year,” Bolat said.
