Türkiye, UK to sign ‘next-generation’ free trade agreement
Türkiye and the UK are preparing to hold a third round of negotiations after the second round in September to reach a “next-generation” and comprehensive free trade agreement (FTA) to replace the existing one since 2021, Anadolu Agency reports.
The previous two rounds of meetings focused primarily on goods trade and related issues, trade policy, health and plant health measures, customs, and trade facilitation.
Türkiye and the UK discussed mutual new market openings for agricultural products, expanding cooperation in health and plant health, and streamlining customs procedures.
Financial services, telecommunications, legal services, maritime transport, postal and courier services, and digital trade, with a focus on secure data transfer and the protection of investments, were also among the main items.
Türkiye and the UK aim to facilitate trade in services and investments, ensure legal predictability, and reduce trade costs via a closer integration in digital trade. Negotiations were conducted on intellectual property (IP) rights, as well as administrative and institutional provisions, regulatory practices, labor, and the environment.
The UK Department for Business and Trade said the second round of negotiations was productive, with some positive progress on multiple items, including digital trade, financial and professional business services, and investments. Both Türkiye and the UK worked on reaffirming international commitments and identifying common priorities in the second round.
The third round of negotiations is scheduled for November 2025, will transform the FTA into a next-generation and comprehensive agreement.
The UK expects that stronger trade with Türkiye will boost its employment and national prosperity.
The UK market, in turn, is strategically important to Türkiye, which has a population of 69 million and strong consumer demand.
The annual trade volume between Türkiye and the UK reached $22 billion in 2024, as London became Ankara’s seventh-largest trading partner, according to the Turkish Trade Ministry. Türkiye also had an $8 billion trade surplus with the UK.
Türkiye is Britain’s 16th largest trading partner, according to the UK Department for International Trade. The UK’s trade with Türkiye directly contributed to 57,100 jobs across the country in 2020, the data showed.
Notably, the World Trade Organization (WTO) last Tuesday raised its forecast for global merchandise trade growth in 2025 to 2.4 percent, up from its previous projection of 0.9 percent made in August. Meanwhile, the forecast for 2026 was revised downward to 0.5 percent from 1.8 percent.
