UK Prime Minister Boris Johnson wants a Canada-style agreement with zero tariffs. This refers to a trade deal that the European Union negotiated with Canada over seven years and concluded in 2014 – although it is yet to be fully ratified by national parliaments in Europe. The deal, named CETA, got rid of most of the tariffs between the EU and Canada. However, their level of trade is much smaller than the one between the UK and the EU. In 2018, the balance of EU and Canada trade in goods was 10.4 billion euros ($11.27 billion). The balance of trade in services was 8.5 billion euros in 2017, according to the latest data published by the EU. In comparison, the UK had an overall trade deficit of £66 billion ($85.6 billion) with the EU in 2018. This resulted from a surplus of £28 billion on trade in services and a deficit of £94 billion on trade in goods. Furthermore, the UK government has said it wants to diverge from European rules and create its own laws and standards.
Brexit Part 7
