18:08 The Secretary of State for International Trade (Anne-Marie Trevelyan)

The deal will uphold high standards and foster collaboration on challenges such as tackling climate change, unfair trading practices and growing the low-carbon economy, going further than ever before in many important areas and showing what we can do as an independent trading nation. It eliminates tariffs on 100% of UK exports, and includes flexible rules of origin, meaning that UK businesses can use some imported parts and ingredients, and still qualify for the new 0% tariffs when exporting to Australia. It gives UK firms new legally guaranteed access to bids for over £10 billion of Australian Government contracts on an equal footing with Australian firms. It provides unprecedented new opportunities for young Britons to live and work in Australia, and it paves the way for the UK to join the comprehensive and progressive agreement for trans-Pacific partnership, or CPTPP, which would further open 11 markets worth £8.4 trillion in GDP for British exporters and investors. Accession to the CPTPP could see 99.9% of UK exports being eligible for tariff-free trade with some of the biggest economies of the present and future, from Japan to Mexico, and from Canada to Indonesia, Malaysia and Singapore. Unlike EU membership, it would achieve that while allowing us to continue to keep control over our laws, our borders and our money.

This agreement also supports the UK’s climate change commitments, reaffirming both parties’ commitments to all of the Paris agreement objectives—the first time that Australia has included a substantive climate change article in any trade deal. It also sets out areas for future co-operation on emissions reduction, zero emissions technology, energy efficiency and sustainable transport. So UK businesses will benefit from zero tariffs on all low-carbon exports to Australia, including of wind turbine parts and electric vehicles, creating more opportunities to grow the low-carbon economy.

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18:19 Nick Thomas-Symonds (Labour)

On climate change, which the Secretary of State mentioned, the COP26 president said, on 1 December, that the deal would reaffirm

“both parties’ commitments to upholding our obligations under the Paris agreement, including limiting global warming to 1.5°.” —[ Official Report , 1 December 2021; Vol. 704, c. 903.]

But an explicit commitment to limiting global warming to 1.5° is not in the deal. Perhaps the Secretary of State can tell us what went wrong in those final days. Does the Secretary of State also accept that the failure to include that explicitly in this important deal damages the UK’s ability to lead on climate change on the world stage— [ Interruption. ] Ministers shout at me, but they told the House on 1 December that it would be included. What went wrong?

On standards, the animal welfare chapter is the first one the Australians have ever done. Their commitment to moving forwards—as the right hon. Gentleman says, there is the non-regression piece—and to working with us is really important. In the same way that the environmental chapter does, that commitment shows their very clear policy objective as a nation to move forwards. The environmental chapter is, again, the first they have ever committed to, and in it they have committed to the Paris agreement. As we were in the final throes of the negotiations—I was very much involved, and it was a great honour, at COP26 with the President of COP26—Australia brought forward a net zero commitment, which is something that many have failed to do in Australian politics. That commitment, alongside this environmental chapter, shows a very strong commitment by the Australians to move forward on this issue. We will work together, not only as mutual friends and allies, but with other countries to help them meet their net zero commitment. That is a really important commitment.

I, too, am grateful for sight of the statement by the Secretary of State. Trade deals are the ultimate curate’s egg—there are things to admire and things to dislike in all of them. There are things to admire in this deal. I am grateful for that, and I welcome such progress as has been made. In the European Parliament, I was in favour of ambitious trade deals, and often found myself voting against the deals that had been negotiated because I thought that they could go further on environmental standards, human rights and climate change. In this deal, there really is a missed opportunity on climate change. It could have gone an awful lot further with one of the key countries in the world in the fight against climate change, and the standards could have been an awful lot higher.

I am thrilled to hear that the hon. Gentleman is a supporter of ambitious trade deals, and I look forward to working closely with him in the months and years ahead as we continue to do many more. This is the first of many. It is an exciting, broad, liberalising trade deal for both parties, and I am disappointed that he thinks differently. Australia has for the first time ever agreed to an environmental chapter and made climate change commitments to embed in a treaty with us its commitment to the Paris agreement, which we all understand very clearly and which was reiterated at COP26 in Glasgow. The aim to keep 1.5 alive continues to be the commitment that the world makes. Australia has, as I have just said, made the commitment for the first time to a net zero strategy for its own nation. We should commend its effort to do that and its willingness to embed in a treaty with the UK—a world-leading nation when it comes to driving the environmental agenda—the fact that it wants to work closely with us to make sure that we make progress.

In this free trade agreement, the UK and Australia have committed to combat illegal logging and related trades, which, as the hon. Lady pointed out, is critical to the preservation of our natural environment and that critical biodiversity—an area that the UK has led on in the COP26 discussions led by Lord Goldsmith through the nature track in Glasgow. The environment chapter in this free trade agreement recognised the importance of sustainable forestry management, and it strengthens our relationship of co-operation and information sharing on a bilateral basis. We have also agreed provisions on promoting and co-operating on the transition towards a circular economy in reducing waste that goes beyond the CPTPP arrangements that Australia has with its neighbours, alongside working in further areas such as air quality and marine litter. There is a really important starting point for the work that we will do together with Australia to ensure that deforestation becomes a thing of the past.

Happy new year, Madam Deputy Speaker. In the Committee stage of the Trade Act 2021, I tabled a series of amendments to include environmental chapters in all future trade agreements. The Government rejected all our amendments of that nature on the basis that such chapters would be included on a deal-by-deal basis, but that was not true, was it? The procurement chapter of the agreement specifically excludes the environmental chapter. As my right hon. Friend the Member for Torfaen (Nick Thomas-Symonds) said, the failure to include 1.5°, added to the exclusion of an environmental chapter, means that the Government have completely undermined in this trade agreement any commitment to tackling the climate crisis.

I am very proud that we have the environmental chapter in the free trade agreement, which sets out a mutual commitment to the Paris agreement. As I set out earlier, that was reiterated as meaning keeping 1.5° alive at COP26, where the Australians and we led the charge to ensure that we all work together to try to meet that challenge and maintain our climate.

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