China and the United Kingdom have taken a pivotal step in strengthening their economic relationship by agreeing to expedite a joint feasibility study on a bilateral services trade agreement. This effort aims to enhance cooperation in high-value service sectors, despite the challenges posed by global trade uncertainties.
At the recent China-UK Joint Economic and Trade Commission meeting in London, China’s Commerce Minister Wang Wentao expressed a warm welcome to increased investment from British enterprises. He urged the UK to create a fair and non-discriminatory business environment for Chinese firms operating within its borders. Both nations reiterated their dedication to supporting the rules-based global trading system, emphasizing the importance of the World Trade Organization in this process.
UK Business and Trade Secretary Peter Kyle underscored the significance of expanded cooperation in services, identifying it as a cornerstone of bilateral relations. He pointed out the rapid growth of China’s services sector as a substantial opportunity for British businesses and affirmed the UK’s commitment to deepening collaboration through the bilateral services partnership and the ongoing trade agreement study.
During the discussions, China also expressed concerns about the UK’s newly imposed steel import restrictions, urging the UK to revise these measures in accordance with international trade rules. Experts suggest that the proposed services trade agreement could open up new avenues in diverse sectors such as finance, banking, education, professional services, skills training, and creative industries.
Meanwhile, trade in goods between the two countries continues to flourish, with bilateral goods trade showing a 6.5% increase year-on-year in the first five months of 2026. This growth indicates a robust trade relationship between China and the UK, further emphasizing the potential benefits of a comprehensive services trade agreement.