Sir, Liu Xiaoming, the Chinese ambassador to Britain, was reported last week as encouraging a China-UK free trade agreement. This should not be allowed to pass as merely another diplomatic statement.
Brexit requires the UK to make its own way in the world, and a China-UK FTA is a real positive policy direction. China shows willing to embark on an FTA. Brexit enables the UK to avoid the various obstacles the EU has thrown up to an EU-China FTA for various internal political reasons, perhaps most remarkably resistance even to a feasibility study for an FTA. The UK is currently well positioned vis-à-vis China given its acceptance of China having market economy status, the welcome to renminbi markets by the City and the initiative to join the Asian Infrastructure Investment Bank.
There are areas of potential difficulty. China has red lines regarding arbitration, intellectual property and trade unions. These will require careful navigation. It is true that FTA negotiations can be difficult and time-consuming but experience teaches that where the political will is present on both sides swift acceleration to completing an FTA is achievable.