Live International Trade Questions House of Commons

Good morning and welcome to live

coverage of the House of Commons. In

around 40 minutes the Home Secretary

Amber Rudd will take questions in

her new additional role as the Mr

for women and equality is. The

Conservative MP Bob Blackman will

ask an urgent question about the

death sentence passed on a

52-year-old man in Yemen described

by Amnesty International as a

prisoner of conscience. There will

be a select committee statement made

by the chair of the education

committee on its report on

fostering. The main business in the

chamber will be a motion tabled by

Vernon Coaker calling for the

current levels of serving personnel

in the Armed Forces to be

maintained. Please join me for a

round-up of all of that at 11pm but

first we have questions to the

International Trade Secretary Liam

Fox.

Order. Order. Questions to the

Secretary of State for International

Development. Martin day.

Number one.

Secretary doctor Liam Fox.

Before I

begin I would like to take the

opportunity to warmly welcome my

honourable friend the member for

Beverley and wholeness to my team

were he will serve as the Minister

for investment and can I pay tribute

to the fantastic job his predecessor

did over the course of his time in

the department. Mr Speaker it is

right the government prepares for

all possible outcomes from leaving

the EU including preparing for no

deal. We will consider the range of

options as we stab at our

independent policy only bilateral

and multilateral basis. Asia-Pacific

is an important market and an engine

for future global growth. We are

closely following progress of the

comprehensive and progressive

transpacific partnership.

Thank you,

the UK trade with the transpacific

partnership countries amounts to

7.2% of total trade with EU is

48.6%, will he confirm his

departments priorities to form close

ties with the world's largest

trading market before embarking on

negotiations with other trading

blocs.

These are not mutually

exclusive. We want an open trading

agreement with the EU but if one

looks at TPP it's already 14% of

GDP, it would be 40% where the

Americans to rejoin. There will be

important markets for United Kingdom

outwith Europe.

Two of the countries

in the TPP are Australia and New

Zealand, will he look closely at

their closer economic relationship

agreement which allows free trade of

goods and services between those two

countries and will he prioritise and

agreement between the United Kingdom

and those two countries?

I have made

clear on a number of occasions

including in this house that when it

comes to future free-trade

agreements Australia and New Zealand

would be two of our top three

priorities. If we are able by

another means to achieve these

liberalisation is in trade we would

like to see then that would be fine.

Surely the Secretary of State would

agree that no TPP deal would make up

for the loss of market in the

European Union and has he seen this

morning 's report, the independent

report conditions by the Mayor of

London which shows what a clatter

cosmic effect it will have leaving

the EU on our business and so many

jobs?

As usual I do not accept the

premise of any part of the

honourable gentleman's questions. I

don't believe we will necessarily

lose a share of market, we want to

maintain an open agreement with the

European Union and they will want to

maintain an open agreement with us

because we are the fifth biggest

economy in the world. The report

this morning was anything other than

cataclysmic, in fact it's worse

assessment was less than half the

assessment given to us before the

European referendum on what our loss

of market might be if there was no

deal whatsoever.

First if I may,

welcome also the new arrival to the

front bench opposite and also

actually yesterday's trade

statistics, the Secretary of State

and I may disagree over how much it

owes to the depreciation of sterling

but we are both agreed that

narrowing of the trade deficit is a

very good thing. With regard to TPP

the Secretary of State says these

are not mutually exclusive but of

course he must account for regular

to the alignment which is part of

TPP and the impact that would have.

Indeed the former secretary at the

Department of business said it

joining TPP would-be cloud cuckoo

land. Or does the Secretary of State

consider that regularly arraignment

negotiated in secret to suit the

economies of the Pacific rim is a

viable proposition for our country?

I am in favour of trade

liberalisation or whether it is

bilateral, plural lateral or

multilateral, if we can get global

trading volumes up it is of benefit

not just to the United Kingdom but

developing countries in the world

who should be able to trade their

way out of poverty.

Minister Graeme

Stewart.

Thank you Mr Speaker, it's

a pleasure to join a government

front bench full of fresh young

talent.

LAUGHTER

Even if I am not one myself. Can I

pay tribute to my predecessor who

showed tremendous commitment and

investment promotion to the benefit

both of his constituents and the

nation as a whole. Baroness

fair-haired the Minister of trade

and promotion is engaging closely

with businesses to inform the

creation of the new export strategy

reporting in spring of this year the

strategy will ensure the government

has the right financial practical

and promotional support in place to

allow businesses to benefit from

growth opportunities generating

wealth and well-being for the whole

of the UK.

Can I thank the Minister

for his answer and congratulate him

on his promotion. I am sure he will

do well and I invite him to miss

Derbyshire at some point on his way

back to his constituency. How will

the Minister ensure the United

Kingdom export finance is an

integral part of the new export

strategy?

I page a view to all her

work promoting businesses in

Derbyshire and beyond, UK Export

Finance's mission is to ensure no

viable UK exports fails to lack of

finance and insurance and it is at

the heart of our export strategy.

Today I am pleased to announce an

even more flexible local currency

offering to help exporters compete

for a major overseas contracts.

Finance is now available in 62

currencies for purchases from the UK

in addition to pounds Sterling, an

increase of 19 currencies following

on from the 30 added in the 2016

Autumn Statement.

The Secretary of

State and his Department has made

great play of promoting great

British brands so does he agree that

Coleman is of Norwich is best served

by keeping production and brands in

Norwich and will he join me in

urging Unilever to do just that?

I

thank the honourable gentleman for

that question, I do not want to get

involved in internal battles within

UK companies are between sites with

a base operations. What I can tell

him, what I can tell and is that the

growth in manufacturing exports is

at the 10-year high and we need to

continue to build on that and that

would be threatened if the party

opposite were to come into this.

Exports are rising but still only

from a small proportion of British

businesses we need more exporters

and a changing business culture so

can I urge the new minister with his

colleagues to challenge business

representative bodies so we ensure a

exporting in Britain is the norm and

not the exception.

I am grateful to

my honourable friend, few people in

this house have done so much to

promote exports and he is one of 28

trade envoys doing a fantastic job

for the country. Alongside the

envoys my department works with 43

business ambassadors at the

forefront of the change he

describes. On business

representative bodies the department

will engage in the export strategy

review to ensure the government and

private sector work to provide

businesses with vivid practical, and

financial...

Membership of the

European single market is vital for

the Scottish economy, and from

34,000 jobs in Scotland are

supported by trade with the EU and

Brexit threatens to cost £11 billion

by 2020, year by 2030. Can the

Secretary of State ensure British is

in Scotland they can export tariff

free to the world's biggest single

market after Brexit?

I thank the

honourable lady for her question,

she is right to highlight and

champion export from Scotland and

the greatest export market for

Scottish businesses is the rest of

the United Kingdom. What I can tell

her is this government will stay

committed to promoting trade within

the United Kingdom with our

neighbours in Europe and with the

rest of the world.

Mr Speaker can I

welcome the Minister to his place, I

enjoyed serving with him on the

education select committee and I

look forward to debating these

important matters with him. Evidence

to the former committee showed a

budget of £23.6 million for the

trade access partnership in 2013-14.

This fell to 11.05 million in the

14-15 and just 8 million the

following year. We are in the final

quarter for this financial year and

just last year the government still

hasn't said what the current budget

is. When are they going to end the

uncertainty of business and tell us

how much money they are giving to

support exporters who want to go to

trade shows and help exports for

business and the economy?

I am

grateful for the question from the

opposition front bench. As usual

they confuse inputs with outputs and

outcomes. We are focused on

promoting export which is what we

are successfully doing which is why

we have built on the position in

2010 and why we are seeing record

level in manufacturing exports and

other exports on which his

constituents depend.

Mr Speaker as the Prime Minister set

out in her Florence speech the UK

will seek a time limited

implementation period, we will

prepare for our future independent

trade policy by negotiating trade

deals with countries which could

come into force after the conclusion

of the fermentation period. To that

end we have established a series of

14 working groups and high-level

dialogues with key trade partners.

Cammie Secretary of State confirm

that he as he said he would is still

on track to deliver 40 trade deals

with non-EU countries after we leave

the European Union? And can he

explain to the house what the man's

there have been from those countries

for additional visas for their

citizens to come to the United

Kingdom and how does that impact on

the tens of thousands of figures?

Mr

Speaker at the government is indeed

committed to ensuring we get

continuity of the 40 or so EU trade

agreements after we leave the

European Union, that is why we

brought in the legislation this

week. I am disappointed that the

honourable gentleman and his party

decided to vote against it and deny

British business that confidence.

Where are we to seek any level of

protection the agreement will take

longer and yield less. Won't they?

Mr Speaker at the very clear aim we

have had is to achieve a continuity

and stability. We want to see those

agreements we already have, that we

are already members of delivered

safely and securely into UK law that

is the point of the trade bill.

Concerns have been raised in

relation to these transitional

arrangements.

There might be changes

to the detriment of the United

Kingdom. Can the secretary of state

confirm he's not intending to make

any significant or substantial

changes to those agreements?

We aim to keep as close as possible

to the condition they are and to

date. Given we have some minor

changes to make.

From the preliminary dialogue my

right honourable friend has had with

the USA, what assessment has he made

with the prospect of doing a trade

deal with that country?

Can I add my congratulations to my

honourable friend for is very

well-deserved recognition of the

service he has given to this House

and his constituency. We have four

groups working on outcomes and

potential scoping of a free-trade

agreement in future and with the

WTO, and we are content we are

making progress on all fronts.

I

welcome that and he is a wonderful

man but I would recommend the

Secretary of State not send him

anywhere of very high altitude

because he is not good at high

altitude. The Secretary of State is

good to try to pursue lots of trade

deals with countries outside the EU,

but isn't one of the major problems

the corruption in some of the

biggest countries? If you look at

Brazil, Russia, China, all of these

for very low down on the

transparency index, and particularly

relating to Russia it is very

difficult for British businesses to

do big business is there, because

they have to pay bribes all the

time?

The honourable gentleman is

quite right and I often described

the issue of corruption in economic

terms as supply constraint. Many of

these economies, when I am having

those discussions, but I think if we

are able to get trade agreements,

good legal agreements, and as part

of that we make transparency the key

element, we are contributing to

success on both sides.

Mr Speaker, with your permission I

would like to answer questions four

and eight together. We have three

main ways to support exporting,

firstly through the website offering

digital tools, the site had over 2.7

million visitors. Secondly,

international trade advisers based

across the country are supporting

businesses and thirdly the UK

finance providing £3 billion in

support, helping 221 UK companies

last year, 79% of which were SNEs. I

am grateful

for that answer. An

additional hurdle many face when

growing their expert is obtaining

affordable political risk insurance.

What steps can my honourable

friend's department take to help in

this matter?

My honourable friend

asks a good and pertinent question,

why UK Export Finance is working to

make sure SMEs can access the

insurance they need to invest

overseas with confidence. Last year

we launched an enhanced overseas

investment insurance product to

protect UK businesses against

political risk investing abroad and

I would strongly recommend that to

companies in his Milton Keynes

constituency.

There's been a revival

of small and medium-sized

manufacturing in the Black Country

over the last two and three years.

With the Minister agree we need to

do all we can to support those small

and medium-sized manufacturing

companies in the Black Country to

access markets around the world

which have development potential?

My

honourable friend makes a good and

strong and pertinent point, not just

about the Black Country but across

the country. We have our export

strategy which will be reporting in

the spring, but can I remind the

How's about the fantastic figures we

have had on manufacturing? Record

growth and output, the highest in

ten years, growing 4% year-on-year,

new data just out, and confidence in

manufacturing is at its highest in

four years according to the EDF.

There is a very close literature

between the success and export of

small and medium-sized manufacturers

and the viability of small and

medium-sized road hauliers, many of

whom are concerned at the

possibility of having to incur

substantial costs with bureaucracy

if they can't get an agreement that

driving licences in the UK for

example will be recognised when we

leave the EU. What assurances can be

made that small road hauliers will

not face any additional burdens and

help them export to the EU after

Brexit?

As my right honourable

friend the Secretary of State has

pointed out, we are seeking a

barrier free frictionless trading

arrangement with the European Union

as we leave, but I can point out to

the honourable gentleman he is

seeking to put in place the

potential for barriers between

Scotland and the rest of the United

Kingdom. 64% of Scottish exports go

to the rest of the UK, compared with

just 15% to the rest of the union.

Minister, many SMEs have identified

internal and external finances as

well as a lack of awareness of

support available to them as buyers

entering the export market. Will the

Minister ensure these concerns are

addressed in the Government review

of the export strategy?

Mr Speaker, he makes a very good

point which is certainly part of the

export strategy. Can I remind him,

and actually The whole House, but

some of the work we have been doing

to make sure finance is more

accessible? We signed agreements in

both July 2016 and July 2017 with

the leading UK banks to ensure they

get access, their customers, SME

customers, can access finance were

easily and UK finance in particular,

make sure that is directly

available.

With your permission, Mr Speaker, I

will answer questions five, six and

nine together. As we leave the EU

the Government's objective is to

maximise trading opportunities for

the whole of the United Kingdom. As

the Prime Minister has made clear

including at the time of the joint

declaration on the 8th of December

we will be seeking a deep and

special partnership with the EU but

at the same thing looking to forge

new and ambitious trade

relationships with our partners

around the world as we develop our

independent trade policy.

What

discussion as he had with potential

new trade agreement partners

including those who have an

agreement already within the EU and

those with whom the Government has

established trade dialogue overrated

salute -- over regulatory alignment?

In terms of agreements were already

have what we are intending to do is

maintain consistency in terms of

those agreements and that is why we

brought the trade legislation

forward. We don't anticipate any

change in that. We intend it to be

the same as today to provide

continuity for business.

At the

Secretary of State confirm whether

maintaining full regulatory

alignment with you will Centre

forming standards, and that

therefore chlorine washed chicken

will not be entering the UK in the

event of a future agreement --

regulatory alignment with the EU.

We

do not intend any donation in

safety, environmental standards are

workers' writes as we negotiate new

trade agreements.

Given how critical

this issue is to maintaining an open

border on the island of Ireland,

what assessment has the secretary

made of practical supervision and

management of maintaining full

regulatory alignment with the New --

EU? Is an established?

Alignment is

about pursuing the same objectives,

not the same as regulatory

harmonisation. We hope our agreement

with the Republic of Ireland is

covered by a full and conference of

agreement with the rest of the EU.

The Irish government has been clear

that a deal that maintains

regulatory alignment means free

movement of people, goods and

services across the border to

Northern Ireland. Since the UK

Government has shown it is willing

to give the nation of the UK

differential deal, will they now

bring to Brussels the Scottish

Government proposals to keep

Scotland and the Single Market and

Customs union, and if not why not?

Why not? When we leave the EU we

leave the Single Market and the

customs union. It is not that

conjugated. -- complicated.

The UK

is proudly spending 0.7% of gross

national income on overseas

development assistance. The first G7

country to honour its promise to do

so. We are also committed to

ensuring developing countries can

use trade as an engine of poverty

reduction, and trade agreements play

an important role in this. It is our

priority to ensure developing

countries maintained their

preferential access to the UK market

as we leave the EU.

These texts

ministers deliver are often far too

long. I know there are people who

scribble these things for ministers,

but Ministers' responsibilities is

to recognise the virtues of the

pencil. Jimmy Quinn.

I also

recognise the wisdom there and I

share my right honourable friend's

as Britons. Can he see what he will

do to put it into legislative

effect?

The cross-border trade bill

we give a second reading too on

Monday provided exactly for the

scheme of preferences to be taken

across into UK law. I find it

absolutely extraordinary that the

opposition parties voted against it.

They voted against the UK having its

own trade preferences scheme for

developing countries. That is a

disgrace, Mr Speaker and I very much

hope they will reconsider their

position as the bill makes it a

passage through the House of

Commons.

Topical questions.

Mr

Speaker, you should see the length

of the ones before we get to this

point. My department, Mr Speaker, is

responsible for UK exports,

investment and trade policy. As we

begin 2018 the House should note

that in 2017 we had our older record

of foreign investment, exports up

14%, employment at a record level,

yesterday we saw venture capital

coming into tech firms was also at

an all-time high, before the

improvement in manufacturing

performance.

The secretary does not

want to trade under EU rules under

which we have considerable influence

but is happy to trade under WTO

rules were we don't have very much

influence, so what does he find

objectionable about EU trading was

that he does not find objectionable

about the WTO?

That is to rather

misunderstand the situation because

the EU itself has to trade under WTO

rules and is not exempt from them.

We look forward to having our

independent seat on the WTO, of

which we were a former member, so we

can have a greater say in global

trading policy, because as members

of the EU we have none.

Can my right

honourable friend tell the House

what practical steps his department

is taking to increase capacity in

developing countries to trade their

way to sustainable growth?

Assisting

trade capability in the developing

world is one of the key parts of our

strategy, launched by DFID last

year. Can I also mention that in

Buena Sarries last month the

Secretary of State and I announced a

big increase in funding for the

WTO's enhance framework which does

precisely this -- in Buenos Aires

last month.

The steel industry has

repeatedly complained that this

Government is not prepared to impose

penalties on exports from countries

with significant market distortions.

America is clear. It has impose

penalties on China under 232, and

the EU is clear and recently voted

to pass anti-dumping rules, but the

Secretary of State has constantly

ducked the issue and refused to say

what his department will do after we

leave the EU. When will he give the

steel industry a straight answer?

What a cheek, Mr Speaker! The very

week when Labour voted against our

ability to actually impose any

penalties whatsoever in the future,

the steel industry and steelworkers

in this country were betrayed by the

Labour Party this week. They would

leave them as sitting ducks to

dumping and subsidy. Such is their

love for their new hard left Andy

trade ideology. -- anti trade

ideology.

The Minister will be where

Scotch whisky is one of the UK's

greatest exporter and much of that

is produced in my Moray

constituency. Read 10% of the £4

billion annual exports are linked to

free trade agreements. To the

Minister update me on the steps he

is taking to make sure when we leave

the benefits of free trade

agreements to the Scotch whisky

industry are maintained? -- could

the Minister update me.

He makes a

very important point. The Government

is committed to seeking continuity

in its current trade and

relationships including those

covered by EU trade preferences.

Scotch whisky is a very important

part of our exports, and we want to

maintain the vital bilateral dispute

mechanisms, all of which are part of

the Scotch Whisky's contribution to

our economy.

In setting up the trade remedies

authority the Government will need

to include a full range of skills,

knowledge, experience. Will it

include representation from the

default governments and trade

unions?

The Government is still looking at

the potential membership. Of course

before we can do so, we have to have

the legal basis for establishing the

trade remedies authority. The

honourable gentleman voted with his

party against its establishment.

Last year I welcome the organisation

when they launch their report on the

state of small businesses. It said

just 18% of British SMEs are

exporting around the world to what

more can the Department of trade do

to help our innovative small

businesses, especially by providing

more information on local rules and

regulations they face in other

markets?

Mr Speaker, can I thank my

honourable friend for that question.

All she does to champion jumps for

an exporter is building on her great

expertise in the elsewhere -- to

champion Chelmsford. As my right

honourable friend explain earlier we

are seeing significant success. The

baroness recently announced a new

export readiness tool on the website

to help SMEs better understand how

export ready they aren't what they

can do to start exporting or

With particular reference to the

trade remedies authorities could my

right honourable friend expand

further on the potential

consequences at the house voted it

down this week?

Mr Speaker if we did

not establish our own trade remedies

authority we would be unable to

protect British business from

dumping and subsidy in future who

work in the steel industry or who

work in the strikes industry will

now know the Conservative Party is

determined to have the legal

protections they deserve, the Labour

Party and their allies in this house

voted against giving our businesses

and those workers that protection.

Scotland is known internationally

for its high-quality food and drink

such as whiskey and seafood but

there is real concern about the loss

of protected geographical

indications which are backed by the

EU so how will be Secretary of State

consult all the devolved governments

to help them protect their unique

product?

The honourable lady should

judge the government by its action

because in the transitional adoption

of the agreements we already have as

a member of the EU in those 40 trade

agreements protection of GI is an

essential part of that. The SNP

voted against that as well.

Exports

from my constituency in Aberdeen

include agricultural things,

including the will leading supplier

of engineering solutions award with

the impact be on Aberdeen of not

being able to enter into continuity

agreement which the EU already has

trade deals.

Clearly there would be

a major disruption in the local

economy which is why it's so

important we get the continuity and

the reason the government brought

for the trade bill with the

parameters it has is we are looking

simply to get stability and

continuity on those agreements we

already have. I reiterate as I said

in a house a couple of days ago it's

not about new free trade agreements

it is about giving stability to the

ones we already have. I'm amazed

anyone should vote against it.

What

analysis has the department done on

the cost to business of complying

with possible new nontariff barriers

and what help of a government

provide to small and medium

enterprises in understanding the

impact of any possible changes in

this area?

Of course we look at all

possible scenarios but I reiterate

what I have said several times today

is what we want to see with the

European Union is an open and

comrades of trading agreement, not

just because it's good for the

United Kingdom but because it's good

for the EU itself because EU member

states are looking for other

companies to have access to UK

markets just as we are doing on the

other direction.

Last month I

welcomed the delegation from Taiwan

to my constituency and he met with

representations of the store

renewable sector and the seafood

sector, will ministers work with me

and local businesses to ensure we

maximise exports to the growing

market?

I chaired last month our

second talks with Taiwan and I can

tell him renewable energy is at the

heart of those toxic. The UK has the

highest capacity market anywhere in

the world for sure wind and it is a

strong interest to the