   
  
WT/REG434/M/1  
 
8 April 2022 
(22-2890) Page: 1/4 
Committee on Regional Trade Agreements  
Hundred and Second  Session    
 
FREE TRADE AGREEMENT BETWEEN THE UNITED KINGDOM AND TURKEY  
(GOODS)  
NOTE ON THE MEETING OF  28 MARCH  2022 
Chairm an: Ambassador Dr. Cleopa Kilonzo MAILU (Kenya)  
1.1.  The 102nd Session of the Committee on Regional Trade Agreements (hereinafter "CRTA" or the 
"Committee") was convened in Airgram WTO/AIR/RTA/27/REV.2 dated 18 March 2022.  
1.2.  Under Agenda Item H.I of the Session, the CRTA considered the Free Trade Agreement between 
the United Kingdom and Turkey, goods (hereinafter "the Agreement"). The Chairman  stated that 
the Factual Presentation had been prepared by the Secretariat on its own responsibility in full 
consultation with the Parties, in accordance with paragraph 7(b) of the  Transparency Mechanism for 
Regional Trade Agreements (document WT/L/671).  
1.3.  The Chairman  indicated that the Agreement had entered into force on 1 January 2021 . It had 
been notified on 31 December 2020 under Article  XXIV:7(a) of the GATT  1994 as an agreement  
establishing a free trade area for trade in goods within the meaning of Article XXIV of the GATT 1994 
(document WT/REG434/N/1 ). The text of the Agreement and its Annexes was available on Parties' 
official websites and in the WTO RTA database. The Factual Presentation (document  WT/REG434/1 
dated 17 January 2022) and questions and replies on this Agreement (document WT/REG434/2 
dated 16 March 2022) had been distributed.   
1.4.  The representative of the United Kingdom  thanked the Chairman and wished to echo  the 
comments from Canada, Australia and the United States. Noting  that the meeting was to celebrate 
new international agreements entered between friends, and collective on -going commitments to the 
rule-based international order, the UK could not just s it by and ignore the egregious violation of 
international law that had been committed by one WTO Member on another, the irredentism and 
expansionism that had been so eloquently condemned by the Chair in N ew York in the Security 
Council just four weeks ago. The UK had seen the direct consequences of Russia's actions in the 
WTO which had  imped ed the ability of Ukraine to fully participate in its work. He stated that while 
Russia continued  to violate the international law, the UK would continue to work with its p artners 
across the world  and the multilateral system, to condemn Russia's actions and to isolate it on the 
international stage.  
1.5.  Turning to the Agreement, he pointed out the beginning of the process of multilateral review 
in the WTO of the UK's FTA program me. The UK had, as part of its ambitious trade agreement 
programme, secured trade agreements with 70 countries outside the European Union, including its 
Agreement with the European Union. Those trade deals had been worth GBP 766 billion in 2020. The 
majority of the agreements had been signed to secure continued market access on current terms 
for the UK and partner -country business es following the end of the transition period of membership 
of the European Union. He believed that the agreements provided a strong foundation for the UK's 
trading relations as an independent trading nation, and the UK was now addressing how to utilize 
and enhance them to maximize opportunities for British business.  
1.6.  One such Agreement was the UK -Turkey Agreement. He recalled that the Agreement had 
entered into force on 1 January 2021  and supported the UK's trading relationship with Turkey, which 
was worth GBP 17.5 billion  in the four quarters to the end of Q3 of 2021.  He also noted that Turkey WT/REG434/M/1  
 
- 2 - 
 
  was the UK 's 18th largest trading partner  and that the UK was happy to be an even bigger trading 
partner in the future.  
1.7.  The Agreement  replicated the effects of the EU-Turkey Customs Union alongside preferential 
agreements on coal  and steel and agriculture as far as possible.  The trade relationship with Turkey 
was unique by virtue of the triangular relationship between the UK, Turkey and the EU.  The 
Agreement  was a goods -only FTA that ensured continuity of preferential trading term s for British 
businesses and supply chains, locking in preferential tariffs for British businesses. It ensured the 
continued flow of goods and protected vital UK -Turkey supply chains in the automotive and 
manufacturing sectors.   
1.8.  He further  wished to briefly draw to the Committee 's attention some of the key aspects of the 
Agreement. First of all, the Agreement had been streamlined and simplified. Secondly, it included 
standard core provisions upholding WTO commitments and principles. Third, the Agreement was a 
goods -only agreement with provisions on preferential tariffs, tariff rate quotas, rules of origin, 
sanitary and phytosanitary measures, customs, and trade facilitation, intellectual property, 
government procurement, technical barriers t o trade, competition, trade remedies and dispute 
settlement.  Fourth, existing  commitments on tariffs for trade between the Parties replicated as fully 
as possible the EU -Turkey Customs Union,  with a few changes. F or example, the Parties agreed not 
to apply  complex agricultural tariffs such as the entry price system and other tariffs with an 
"agricultural component " to originating imports from Turkey , unless these were also in the UK's 
applied MFN schedule. Also, TRQs administered by the UK or  Turkey had bee n re-sized to reflect the 
fact that the UK was a smaller importer and exporter than the EU -28 had been when the UK had 
been a Member of the European Union.  Solutions had been agreed with partner countries to set 
quotas to a sufficient level that would allo w for continuity of historical trade flows, in most 
circumstances, for importers and exporters from both sides.  
1.9.  He pointed out that in light of the commitments made between Turkey and the EU under the 
Ankara Agreement, the rules of origin of the Agreement  had been revised in March 2021 to align 
with the UK -EU Trade and Cooperation Agreement (TCA), specifically across general provisions and 
product specific rules. Additionally, to ensure maximum continuity of effect for traders, the Parties 
had mutually agr eed to provisions allowing for the cumulation of  EU inputs in their direct exports to 
one another.  
1.10.  Recognising the existing commitments agreed between the EU and Turkey, the UK had taken 
a number of approaches in respect to transitioning various aspects o f the EU -Turkey  Agreement to 
a UK-Turkey Agreement.  In some cases, the UK had thought that it had not been appropriate for 
the UK and Turkey to transition existing provisions in the EU -Turkey Agreement in a bilateral context . 
In those cases, the UK had ins tead agreed on bespoke provisions appropriate to the bilateral 
relationship and based  on FTA precedent.  In other cases, for example in SPS, the provisions of the 
new EU -Turkey Agreement had been replicated. Such approaches were not expected, however, to 
have a significant impact on future trade flows.  
1.11.  With a view to scoping how the UK could have further dee pened the UK -Turkey trading 
relationship, he indicated that the Agreement had also a clause (Article 13.2) which committed both 
Parties  to starting the process of reviewing the current Arrangement by 20 April 2023. In the UK's 
view,  it provided the opportu nity, to consider how the Agreement could be enhanced, modernised 
or, indeed, replaced.  
1.12.  In conclusion, he indicated that the Agreement was testament to the strong bilateral 
relationship that the UK enjoyed with Turkey and that it had provided certainty and continuity for 
businesses after the UK had left the European Union. The UK was actively working with its Turkish 
allies to ensure the Agre ement worked as well as it could and to identify opportunities to further 
strengthen the trading relationship between the two nations. The UK continued to collaborate closely 
with its Turkish allies to remove barriers to trade and further support British b usinesses that trade d 
with Turkey, increasing access to the extremely attractive Turkish market.  
1.13.  The representative of Turkey  thanked the Chairman and before starting her statement  she 
wished to reaffirm Turkey's  support for the unity, sovereignty and territorial integrity of Ukraine. 
Turkey rejected the attack against Ukraine that had caused a huge humanitarian crisis and reiterated 
its call for an urgent humanitarian pause, dialog ue, and diplomacy. Turkey was in  close contact with WT/REG434/M/1  
 
- 3 - 
 
  the Ukraine and Russian delegations in th at respect. Following the initiative of the Turkish 
Government , the delegations of Ukraine and the Russian Federation were meeting in Istanbul that 
week, and Turkey continued its diplomatic effor ts with both capitals with a view to ensur ing peace 
and stability in the region.   
1.14.  She thanked  the WTO Secretariat team and expressed appreciation for the intense 
cooperation during the preparation of the Factual Presentation on the Agreement . She believed that 
regional trade agreements establishing free trade areas contributed to the development of 
international trade and provided a favourable environment for business  people. She stressed that 
Turkey was a great supporter of RTAs with 22 in force. Turkey wa s working on increasing th at 
number and extending the scope of its existing Agreements. She reaffirmed Turkey's strongest 
support for a rule -based multilateral trading system under the WTO.  
1.15.  As the Factual Presentation already provided detailed information about the structure and 
provisions of the Agreement , she wished to briefly touch upon certain points.  The UK was a very 
important partner for Turkey , ranking third in its export destinations for goods. Additionally, the UK 
was the third largest investor wi th around 3 ,000 companies operating  in Turkey . Due to the ir strong 
relationship dating back many years ago under the customs union and other trade Agreements and 
Decisions, Turkey and the UK had economies that were deeply connected to each other through 
value chains , and the y attached  great importance to the continuation of their strong relationship. 
Parallel to this perspective and as a result of the Parties intensive efforts and cooperation during the 
Brexit process, they had concluded and signed the Agreement  on 29 December, 2020 , which  had 
entered into force on 1 January  2021.  The Turkey -UK FTA was a continuity Agreement and it had 
been completed in a swift and practical manner to avoid any disruption in the Parties' trade and the 
importance of the continuation of their partnership had been reflected under the existing trading 
environment.  
1.16.  Under the Agreement, customs duties on industrial goods had remained zero, concessions on 
agricultural and processed agricultural products had been scaled back and reflected in the 
Agreement. In this manner , the Parties had protected their respective market access conditions. The 
Agreement set the basic rules and disciplines to be applied to trade in goods within 13 Chapters. 
With regard to the rules of origin, it f oresaw full bilateral cumulation and the use of EU inputs in 
bilateral trade. Furthermore, the drawback of customs duties was permitted for all Chapters, and 
the proof of origin system was based on the self -declaration principle by the exporter.  The 
Agreem ent also included a review provision. Under th at provision, the Parties were committed to 
work towards extending the Agreement to other areas.  
1.17.  She further underlined that the Agreement had had quite a positive impact on the Parties' 
bilateral trade, despit e the fact that COVID -19 had tremendously decreased trade flows. Thanks to 
the Agreement, in 2021  total bilateral trade between Turkey and the UK had increased by 15% 
compared to 2020 and reached USD 19.2 billion. She emphasised that the UK had remained on e of 
the most important trading partners of Turkey.  
1.18.  Before concluding, she informed that the Parties were negotiating a new TBT Chapter in order 
to revise the existing provisions , in parallel to the EU -UK Trade and Cooperation Agreement. Good 
progress had been achieved and  both Parties were expecting  to conclude their work before the end 
of 2022.  
1.19.  She thanked  the WTO Secretariat team for their valuable work to prepare the Factual 
Presentation, and extended her special thanks to her British colleagues for their close cooperation 
and support. She also thanked the representatives of Brazil, Canada, the EU, Indonesia, and Japan 
for their valuable questions, enabling further elaboration of the Agreement, as well as the 
distinguished Memb ers of the Committee for their participation and interest.  
1.20.   The representative of the Republic of Korea  wished to echo several speakers on the situation 
in Ukraine. The Korean Government also strongly condemned Russia's arm ed invasion  of Ukraine as 
a viola tion of the principles of the UN Charter.  He stressed that  the use of force that caused innocent 
casualties could not be justified under any circumstances. Korea  reiterated Ukraine's sovereignty, 
territorial integrity and political independence that must b e respected. It shared the deep concerns 
the international community had over the unfolding humanitarian situation in Ukraine.  WT/REG434/M/1  
 
- 4 - 
 
  1.21.  Turning to the Agenda, he thanked the Parties and the Secretariat for their presentations and 
participation over the course of t he crucial process related to the transparency in the WTO. He wished 
the Parties every success in their future implementation as well.  
1.22.  The representative of Japan  wished to share concerns on the Russian invasion and to echo 
and add Japan's  voice to the pr eceding interventions from Canada, Australia, the United States, the 
United Kingdom, Turkey and  the Republic of  Korea.  He stressed that the invasion of Ukraine by 
Russia was an attempt to unilaterally change the status quo by force. He stated that i t was a n act 
that undermined the very foundation of the international order. Japan believed  that it constituted 
an outrage and a violation of international law and the United Nation Charter. As such it was 
unacceptable, and Japan condemned it in the strongest ter ms. Japan stood  with the people of 
Ukraine.  
1.23.  Turning to the Agreement between the United Kingdom and Turkey, Japan thanked the Parties 
and the Secretariat for their efforts to prepare the Factual Presentation. He also expressed 
appreciation for the respons es received to the questions Japan had posed on specific aspects of the 
Agreement, including, the rules of origin.  
1.24.  The representative of the European Union  echoed what had been said by Canada, Australia, 
the US, the UK, Turkey, Republic of Korea, and Japan. The EU called on the international community 
to demand from Russia an immediate end to its aggression, the withdrawal of its military and respect 
for Ukraine 's sovereignty and territorial integrity. Russia 's actions were endangering international 
peace and security on a global scale. She emphasised that at all times, Russia had to respect its 
responsibilities under international human  rights  law. 
1.25.  Moving to Agenda  Item H.I, she thanked, on behalf of the EU, the Parties for the presentation 
of their Agreement and their reply to the EU's question on subsidies and the state aid Chapter. She 
wished the Parties success in the implementation of the Agreement.  
1.26.  The Chairma n noted that the consideration of the goods aspects of the Free Trade Agreement 
between the United Kingdom and Turkey  had allowed the Committee to clarify a number of questions 
and conclude oral discussion of the RTA in accordance with paragraph 11 of the Transparency 
Mechanism. Any delegations wishing to ask follow -up questions were invited to forward submissions 
in writing to the Secretariat by 4 April 2022 and the Parties were asked to submit replies in writing 
by no later than 25 April 2022. In accordan ce with paragraph 13 of the Transparency Mechanism all 
written submissions, as well as minutes of th e meeting would be circulated promptly, in all WTO 
official languages, and made available on the WTO website.  
1.27.  The Committee took note  of the comments made.  
__________  