US-UK trade deal 'to be difficult'

The United Kingdom will have difficulty concluding a trade agreement with the United States, economist Larry Summers expects. “Brexit will leave the country desperate and without change. US President Donald Trump will squeeze the country before making a deal.”

British Foreign Secretary Dominic Raab is visiting the United States this week to set the groundwork for a trade agreement between the two countries. According to pro-Brexit members, such a deal is one of the biggest benefits of leaving the country European Union† However, Summers said last week that the United States will only agree to a deal that is heavily in its own favor. Summers was Secretary of the Treasury during the time of President Bill Clinton and also an economic adviser to President Barack Obama's administration.

According to him, Britain does not have a good negotiating position. "The country is very desperate. They need an agreement quickly. If you have a desperate partner, now is the time to strike and make the most of the deal," he said. BBC Radio 4† "If you want to leave the European Union at all costs, you give potential trading partners a big advantage in the negotiations. After all, you make more concessions when making agreements with a rich man than when making agreements with a poor man."

Concern
By contrast, there are also opponents of an expanded trade deal with the United States. According to them, there is a chance that American companies will then gain extensive access to the British agricultural sector, after which the market will be flooded with cheaper products. This has a negative effect on British companies and lowers the quality of the products sold.

Several members of the US Congress have also indicated that they do not support an agreement that threatens the open border between Northern Ireland and Ireland. Best for Britain CEO Noami Smith told Business Insider: "This is why President Trump is portraying the deal so beautifully. He is not a friend of Britain and knows that Prime Minister Boris Johnson is a wimp. He wants that. make the best use of it."

Kimberly Baker

Kimberly Bakker is an all-round editor at Boerenbusiness. She also has an eye for the social media channels of Boerenbusiness.

k.baker @boerenbusiness. Nl

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