China and the United Kingdom are poised to enhance their economic collaboration by fast-tracking a joint feasibility study on a bilateral services trade agreement. This initiative represents a crucial advancement in strengthening cooperation in high-value service industries, which comes amid persistent global trade uncertainties.
The agreement was reached during the China-UK Joint Economic and Trade Commission meeting held in London. At the meeting, Chinese Commerce Minister Wang Wentao expressed a welcoming stance towards increased investment from British companies. He urged the UK to maintain a fair and non-discriminatory environment for Chinese firms operating within its borders. Both nations reaffirmed their commitment to upholding the rules-based global trading system through the World Trade Organization.
UK Business and Trade Secretary Peter Kyle emphasized the growing importance of cooperation in services as a central aspect of the bilateral relationship. He pointed out that the rapid growth of China’s services sector presents significant opportunities for British businesses. Kyle confirmed the UK’s readiness to deepen collaboration through the bilateral services partnership and the ongoing trade agreement study.
China also addressed concerns regarding the UK’s newly imposed steel import restrictions, urging a revision to ensure compliance with international trade rules. The proposed services trade agreement is anticipated to unlock new opportunities in sectors such as finance, banking, education, professional services, skills training, and creative industries.
Despite these discussions, merchandise trade between China and the UK has continued to flourish, with a 6.5% increase in bilateral goods trade recorded year-on-year during the first five months of 2026. This growth underscores the potential benefits of expanded cooperation and the significance of the proposed services trade agreement in fostering stronger economic ties between the two countries.