The UK now has a wide range of trade agreements in place, with several new deals being introduced and others still under negotiation. In this update we explain what these agreements are, how they differ and what these developments mean for PFE’s customers.

Introduction

The UK’s trade agreements shape everything from tariff costs to customs procedures and wider supply-chain planning. For companies moving goods internationally, these agreements can influence overall landed costs, documentation requirements and the ease of getting shipments cleared.

What a Free Trade Agreement Does

A free trade agreement (FTA) is a negotiated deal between countries designed to make trade easier. FTAs can reduce or remove tariffs, simplify the paperwork needed for customs clearance and set clearer rules about how goods qualify for preferential access. Although many agreements offer reduced duties, not every product automatically qualifies. In most cases, companies must still meet rules of origin, maintain the correct certificates and demonstrate that goods meet the agreement’s criteria. For businesses that get this right, FTAs can support smoother logistics, more predictable routing and, in some cases, lower costs.

Most of the UK’s existing trade agreements fall into this category of FTAs, although many are continuity versions of the EU’s former agreements rather than newly negotiated deals.

The UK’s Existing Trade Agreements

The UK government lists a large number of trade agreements that are already active. According to Business.gov.uk, the UK has signed more than 70 agreements, many of which were rolled over from the UK’s time in the EU. These were put in place to avoid disruption to established trading relationships.

These continuity agreements largely replicate the EU’s previous arrangements, with only minor technical adjustments. They ensure that trade keeps flowing smoothly but generally do not offer new market access or additional tariff reductions beyond what businesses already had before Brexit.

Continuity agreements include long-standing partners such as:

  • Switzerland
  • Norway, Iceland and Liechtenstein
  • Canada (the pre-2024 continuity version)
  • South Korea
  • Mexico (before the 2024 expanded deal)
  • Chile, Peru, Colombia and several Central American countries
  • Israel, Egypt, Morocco, Tunisia, Kenya and South Africa
  • CARIFORUM nations (14 Caribbean countries including Antigua and Barbuda, The Bahamas, Barbados, Belize, Dominica, Dominican Republic, Grenada, Guyana, Haiti, Jamaica, Saint Kitts and Nevis, Saint Lucia, Saint Vincent and the Grenadines, Suriname and Trinidad and Tobago)
  • Jordan, Lebanon and Palestine
  • Turkey, under the UK–Turkey customs union arrangement

These agreements are important because they provide stability, but the practical benefits for customers tend to be incremental.

New and Expanded UK Trade Deals

Alongside continuity arrangements, the UK has negotiated a growing set of new or significantly upgraded agreements since leaving the EU. These are the deals most likely to create fresh opportunities.

Key examples include:

  • Australia – the UK’s first entirely new post-Brexit FTA, in force from May 2023
  • New Zealand – another new UK-specific agreement, also in force from May 2023
  • Japan (CEPA) – an enhanced version of the EU-Japan deal, adding chapters on digital trade and financial services
  • Singapore and Vietnam – upgraded continuity deals with expanded digital and services provisions
  • Mexico (2024) – a large new agreement replacing the earlier continuity version
  • India (2025) – a new Comprehensive Economic Partnership Agreement, signed and moving through ratification
  • The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) membership – providing preferential access to 11 Indo-Pacific markets. The full membership comprises Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam.

These “newer” deals are the ones that tend to deliver clearer tariff relief, improved customs cooperation and simplified documentation, all of which can have a meaningful impact on the movement of goods.

Where the UK Is Still Negotiating

A number of trade negotiations are underway. These include talks with:

  • The Gulf Cooperation Council (GCC)
  • South Korea, which is seeking a modernised agreement to replace its continuity deal
  • Switzerland, also exploring an upgraded arrangement
  • Turkey, where discussions aim to move from a customs-union-style deal to a full FTA

The UK–India agreement, while signed in 2025, remains in the process of ratification. This means that although the headline deal exists, some benefits will not apply until both governments complete the legal steps required.

Negotiation timelines can shift, but these discussions provide useful signals about where future opportunities may emerge.

Why This Matters for PFE’s Customers

For PFE’s customers, the UK’s evolving trade agreements can influence both the cost and the efficiency of moving goods. When a country has a free trade agreement in place, tariffs may be reduced or removed for qualifying goods. This can lower overall landed costs, support better margins or help businesses remain competitive on price.

Preferential agreements also tend to simplify customs procedures. Clearer rules of origin, more predictable paperwork and agreed documentation standards can all help shipments move more smoothly through the border. For companies working across multiple supply-chains, any improvement in the clarity or consistency of customs processes is particularly valuable.

Trade agreements also feed directly into sourcing decisions and wider supply-chain strategy. Understanding which countries have favourable terms, and which do not,  helps businesses decide where to place orders, how to manage risk and which routes may offer better long-term resilience. This is especially relevant as agreements are updated or replaced.

Finally, some of the UK’s newer deals, such as the agreement with India, point to emerging opportunities. These agreements are being phased in over time, but early planning can help businesses position themselves to take advantage of new sourcing corridors or tariff benefits as they come into effect.

Looking Ahead: India, Vietnam and Indonesia

The Indo-Pacific region is an increasing focus of UK trade policy. India’s new agreement signals a shift towards deeper long-term partnership, although businesses will need to monitor implementation. Vietnam continues to benefit from its bilateral agreement with the UK and now also from the CPTPP framework. Indonesia, by contrast, does not yet have an FTA with the UK, although ongoing engagement suggests this could change in the future.

Our next article will look in more detail at the trade landscape for these three countries, how their agreements differ and what opportunities may arise for PFE customers as they continue to grow in global importance.


References:

GOV.UK – UK trade agreements in effect (full list of active trade deals) GOV.UK

GOV.UK – The UK and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) (UK’s CPTPP accession information) GOV.UK

GOV.UK – UK–India Trade Deal (signed July 2025, including agreement documents) GOV.UK

GOV.UK / Business.gov.uk – Free Trade Agreements: how many, and for whom (summary of UK “70+” deals) Business Growth Service

Commons Library (UK Parliament) – Briefing on UK–India FTA, summarising impact and trade data House of Commons Library