On Tuesday, Britain’s new trade minister expressed optimism about the potential removal of some trade barriers with the European Union, though he acknowledged that the mechanism for

resolving any disputes would need to be negotiated.

Following the Labour Party’s victory in the July 4 election, the party has committed to maintaining the core elements of Britain’s exit deal with the EU. However, it aims to establish a new food and veterinary agreement to minimize border checks on animal products.

Critics argue that such an agreement would require oversight from the European Court of Justice (ECJ), a point of contention for Brexit supporters who view it as a threat to British sovereignty.

Jonathan Reynolds, the newly appointed secretary of state for business and trade, shared his views during a meeting of Group of Seven (G7) trade ministers in Italy. He suggested that there is room for an agreement and did not dismiss the possibility of involving the ECJ in arbitration.

“The resolution of any dispute will naturally be a topic of negotiation,” Reynolds told Reuters by phone from Calabria, Italy.

He emphasized that this potential deal would encompass a broad range of issues beyond economic matters, including defense and security.

Reynolds also confirmed his intent to secure mutual recognition of certain professional qualifications with the 27-nation EU bloc and to facilitate easier access for touring musicians.

During his visit to Italy, Reynolds discussed with European counterparts the EU's decision to impose tariffs on Chinese-built electric vehicles, aimed at countering what Brussels sees as unfair subsidies for Chinese manufacturers. He expressed caution about the UK adopting similar measures, citing the export-driven nature of the British auto sector and the lack of complaints from domestic firms about China.

“I am not ruling anything out, but any decision must be right for an export-oriented industry,” he said.

Resuming India Talks

Since leaving the EU, the previous British government pursued various trade deals, but negotiations with Canada stalled in January, and talks with India were paused ahead of Indian elections.

Reynolds reported a positive meeting with the Canadian delegation at the G7 summit but noted that formal talks had not yet resumed.

India’s Trade Minister Piyush Goyal, also present at the G7 conference, invited Reynolds to visit India. Although no date has been set, Reynolds expressed hope to restart negotiations with India "as soon as possible."

Acknowledging that a bilateral trade deal with the United States is unlikely in the near future, Reynolds remained confident that UK-US relations would stay strong regardless of the outcome of the upcoming US presidential election.

“The U.S. will always be a key relationship for the U.K., irrespective of the political leadership,” he said. Photo by David Woolfall, Wikimedia commons.