(MENAFN) Türkiye and the United Kingdom are gearing up for a pivotal third round of negotiations aimed at establishing a “next-generation” and all-encompassing free trade agreement (FTA) to replace the existing deal in place since 2021. This follows the second round held in September, which built on earlier discussions.

The initial two rounds concentrated heavily on trade in goods, trade policies, health and plant health standards, customs protocols, and trade facilitation measures. Both nations have explored opportunities for new agricultural market access, enhanced collaboration on health and plant health, and efforts to simplify customs procedures.
Key sectors under discussion also include financial services, telecommunications, legal services, maritime transport, postal and courier services, and digital trade—with a critical emphasis on secure data transfer and investment protection.

The negotiations target improved trade flows in services and investments, aiming to create legal certainty and lower trade costs through deeper integration of digital trade frameworks. Talks have additionally covered intellectual property rights, regulatory frameworks, administrative structures, labor issues, and environmental standards.

The UK Department for Business and Trade described the second negotiation round as “productive, with some positive progress on multiple items, including digital trade, financial and professional business services, and investments.” It added that both parties worked to “reaffirm international commitments and identify common priorities” during these sessions.

Scheduled for November 2025, the upcoming third round is expected to finalize a next-generation, comprehensive FTA that significantly upgrades bilateral trade relations.

London views enhanced trade ties with Türkiye as a key driver to bolster employment and national prosperity. Conversely, the UK market holds strategic importance for Türkiye, a country with 69 million consumers and robust demand.

Trade between Türkiye and the UK surged to $22 billion in 2024, with the UK rising to become Ankara’s seventh-largest trading partner, according to Türkiye’s Trade Ministry. Notably, Türkiye posted an $8 billion trade surplus with the UK last year.

From the UK perspective, Türkiye ranks as its 16th largest trading partner, as noted by the UK Department for International Trade.

This upcoming negotiation round will be closely watched, as both countries aim to solidify a future-proof trade relationship poised to unlock new economic opportunities on both sides.

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