The US presidential election is underway, and the UK can be seeking to strike a post-Brexit commerce cope with whoever wins.
However how would possibly the end result have an effect on us within the UK?
1. Ready for a commerce deal
The UK at present trades with the US on phrases that had been negotiated with the EU. However that may change on 1 January when the UK stops following EU commerce guidelines.
Each the US and the UK are negotiating a commerce deal, with the intention of creating it simpler and cheaper to purchase and promote items to one another.
Provided that the brand new presidential time period would not begin till 20 January, a deal is unlikely to be agreed till after then.
And when a deal is agreed relies upon, largely, on the need of the following president.
In terms of UK export locations, the US is the UK’s second biggest market behind the EU.
A beneficial UK-US commerce deal would intention to decrease tariffs (taxes paid on imported items). This might assist maintain costs down at residence, and make it simpler to promote issues to the US.
President Donald Trump, who has known as himself “Mr Brexit”, says he desires a speedy commerce deal.
But when Democratic presidential hopeful Joe Biden wins, this could possibly be a slower course of, as he would possibly prioritise repairing US-EU relations.
Mr Biden was vice-president to President Barack Obama, who mentioned earlier than the 2016 EU referendum that the UK can be on the “again of the queue” in any commerce cope with the US, if it voted to go away.
That mentioned, there is not any assure of a fast commerce deal irrespective of who wins the election – the US Congress could have a say, and will stall the method.
2. These chlorinated chickens
The UK can be renegotiating the way it trades with the US in all areas – and this consists of meals requirements.
Meals imported to the UK at present has to satisfy requirements set by the EU, however this would possibly not be the case from 1 January – and new phrases must be agreed with the US.
In 2019, the Trump administration set out a few of its priorities in any UK trade deal – and considered one of these was to permit US agricultural merchandise to be bought to the UK with fewer constraints.
Some concern the UK will enable meals imports from the US that do not adhere to present meals requirements.
The controversy has centred round hen washed with chlorine – one thing that is allowed within the US, however not within the UK.
The federal government insists it is dedicated to excessive requirements, however MPs have thus far rejected proposals for imported meals to satisfy present EU requirements.
This leaves the door open for chlorinated hen and different farming practices that fall under present requirements to be on the desk in future commerce talks.
We’re unsure on Mr Biden’s place, however he apparently told former deputy prime minister Sir Nick Clegg that the US would not signal something that hen farmers within the US did not like.
3. The value of remedy
Underneath the present UK system, consultants resolve how a lot the NHS pays for medication, however the US pharmaceutical business desires to have extra say over costs, and the Trump administration has additionally mentioned that this can be a precedence in negotiations.
Mr Biden’s place, once more, is much less clear.
UK negotiators have stated that in any US commerce talks: “The NHS is not going to be on the desk. The value the NHS pays for medication is not going to be on the desk.”
4. What to do with the Irish border
There’s additionally one other vital political dimension to any cope with the US – the Irish border.
Final 12 months the UK and EU signed a deal, known as the withdrawal settlement, which paved the best way for Brexit to occur. It included a plan to forestall checks alongside the Irish border from January 2021, which is when the brand new UK-EU relationship will begin.
However the concern has resurfaced after the UK authorities mentioned it wished to make modifications to the beforehand agreed association.
Mr Biden – a person with Irish roots – has made his place clear, tweeting that any commerce cope with the UK have to be contingent upon “stopping a return to a tough border” with Eire and “respect” for the Good Friday Settlement.
He says he would not enable peace in Northern Eire to turn out to be a “casualty of Brexit”.
That is much like the position taken by the Trump administration, which has mentioned it desires to “see the dearth of a border maintained”.
The Irish foyer is highly effective in US politics, and it could appear both administration would push again towards any modifications alongside the border.