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chancellor Rachel Reeves has described
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it as imperative for the UK to improve
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its trading relationship with the
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European Union Her comments came as US
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President Donald Trump's sweeping
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tariffs risked global trade war amid
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ongoing market turmoil as the Footsie
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100 slumped again as China announced 84%
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retaliatory trade tariffs on US imports
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It also came ahead of a crucial summit
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with EU leaders in London next month as
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part of the UK government's planned EU
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reset So what did the chancellor say In
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an interview with the Financial Times
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Reeves stressed she was pushing for an
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ambitious economic agenda In the talks
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on May 19th she told the newspaper that
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since Brexit it has been harder for
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British firms to export around Europe
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particularly smaller firms and now many
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of them feel shut out of European
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markets The Chancellor also added that
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she feels that in the current
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environment there is a greater
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willingness from countries around the
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world to look at both tariff and
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non-tariff barriers that are holding
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back trade and she added that many of
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the developments whether it is Russia's
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invasion of Ukraine or the challenges in
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global trade at the moment mean that
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there's an even greater imperative to
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improve the UK's trading relationships
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with Europe Reeves also argued the UK EU
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summit would be an opportunity to
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refresh our relationship and make it
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easier for businesses to trade with
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partners in Europe According to the FT
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the Chancellor is pushing for the UK to
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explore alignment with the EU on
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regulations for industries such as
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chemicals in a bid to improve access to
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markets So why is this important Well
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despite leaving the EU after Brexit the
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UK still does a huge amount of trade in
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goods and services with the EU The US is
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still our biggest single trading partner
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but in 2023 trade with EU countries
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accounted for 42% of our total exports
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and 52% of our total imports according
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to the House of Commons library And
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among UK voters Trump's popularity has
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sharply declined since March with the US
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president scoring a minus 44 net
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negative rating in Freshwater Strategies
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latest poll for city The Liberal
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Democrats are also urging the government
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to launch a by British campaign which
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Reeves and number 10 have so far brushed
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aside The Lib Dems claim 50% of British
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adults surveyed say they are now less
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likely to buy US goods since the
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imposition of tariffs So the big
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question is could a political
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opportunity lie ahead for the government
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if trade with the EU can be improved We
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will have to wait and see how that
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situation develops What do you think of
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the government's position on trade with
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the EU Let us know your thoughts in the
2:28
comments and follow CTM for all the
2:29
latest political and economic news