Oral Answers to Questions Debate
Full Debate: Read Full DebateElizabeth Truss
Main Page: Elizabeth Truss (Conservative - South West Norfolk)Department Debates - View all Elizabeth Truss's debates with the Department for International Trade
(4 years, 10 months ago)
Commons ChamberI am a big supporter of the WTO, but it does need reform. When the UK takes up its independent seat at the WTO for the first time in many years, we will strongly be backing the rules-based multilateral trading system and making the case for reform.
10 December—the date on which the WTO appellate body crisis will come to a head—is looming ever closer. Can the Secretary of State confirm that she will follow the European Union in working to restore an operational appellate body, and will she tell us what conversations she has had with her United States counterpart regarding that urgent need?
When I was at the WTO in Geneva last week, I met David Walker, who is currently leading work to resolve the appellate body crisis. I have given him my full support in that work. It will require movement on behalf of the EU and the US to find a solution to this crisis, but it is vital that we fix this in order to keep the WTO going.
As well as undermining the dispute settlement system, the US is threatening the principles that support developing economies and imposing tariffs for political ends. How does my right hon. Friend propose that the UK stands up for the rules-based order while trying to negotiate a trade deal with the US?
My hon. Friend is right that the rules- based order is very important. Last week we got the support of all the Trade Ministers of the Commonwealth, who represent a third of the world’s population, to make the case for an immediate resolution to the WTO appellate body crisis and for a rules-based order. As she says, it is particularly important for the smaller countries that do not have the muscle to make their way in trade negotiations to be able to rely on the WTO to resolve disputes.
How exactly do the Government intend to reform the WTO? Are they looking at tariffs, for example? What exactly are they trying to achieve?
The WTO needs to reform to reflect trade in the 21st century. It needs to become more transparent. We also need to deal with issues such as state-owned enterprises, forced technology transfer and intellectual property, ensuring that these matters are resolved within the WTO. But we also need an appellate body system that works for all WTO members, which is why I am supporting David Walker from New Zealand, who is conducting the review. I urge the US, the EU and all other parties to work together to resolve this situation.
May I urge the Secretary of State to use our voice at the WTO to champion both free trade and, as she has described them, “orderly” markets? Now is not the time for world trade to revert to old-fashioned protectionism.
My hon. Friend is absolutely right. Since the repeal of the corn laws, the UK has stood up for free trade. We were one of the founding members of the general agreement on tariffs and trade in 1947. There is a huge opportunity for us as we leave the EU to retake our independent seat, to make the case for free trade and to be prepared to stand up for the values that we believe in as a country.
Will the Secretary of State wake up? She sounds almost as if she is in a trance this morning. Instead of talking to significant people in the WTO, will she come to my constituency of Huddersfield to meet exporting companies and top managers there, who believe that she is sticking a dagger into the heart of this country’s exporting companies? We want to know what the future is for exporting businesses in Yorkshire when we leave the EU, if we have to leave the EU.
Well, I can tell the hon. Gentleman that I am going to be in Yorkshire next Friday, visiting and talking to exporting businesses such as Bettys of Harrogate and Burberry in Leeds. If he wants to extend an invitation to me to visit an exporting business in Huddersfield, he should get on with it.
Will my right hon. Friend be a champion for opening markets to the world’s least developed countries?
Absolutely. One of the great benefits of trade is the prosperity it can bring to some of the poorest countries in the world. Part of our no-deal tariff schedule is about ensuring that those countries are supported, but we will have a huge opportunity to open up more trade once we leave the EU. At the Commonwealth Trade Ministers meeting, we talked about just that.
We all wish to see reform of the WTO and a functioning dispute resolution system, but given that the UK is responsible for 3.4% of global trade compared with the EU being responsible for 35%—a full third—of global trade, is it not the case that the UK’s influence inside the WTO is now massively diminished?
One of the groups we are working very closely with is our Commonwealth partners. We are developing a Commonwealth caucus at the WTO that represents a third of the world’s population and has a very strong stake in making sure that the WTO works for small states, in particular. Of course we will work with the EU and of course we will work with the US when it is in our mutual interests, but the fact is that the EU has pursued protectionist policies, and that has not necessarily helped some of the least-developed nations. I believe that the UK will have a unique voice, particularly in favour of free trade.
We know that the new Secretary of State can do the impossible, because recently she announced that for the past 45 years the UK had been a member of the WTO—which was only founded in 1995. So will she now inform the House of how she has resolved the challenge that 20 or so members of the WTO have lodged against the UK’s proposed new bound tariff and quota schedules, and of what provisional sum she has agreed with the Chancellor to pay any successful claims?
The UK was a founder member of GATT, which then became the WTO. As the hon. Gentleman knows, by his definition we would only have been in the EU since 1993, because previously we were in the European Community, as I am sure he has said.
Of course we will work through the issues on the goods schedules at the WTO, and we are doing precisely that at Geneva. Those schedules are all ready to go in the event of no deal. Of course, what we want is a deal, and the Prime Minister is currently in Brussels working very hard to get that. If that is what the hon. Gentleman wants, I suggest that he votes for it.
We are extremely disappointed that the US has decided to levy tariffs, including on the Scotch whisky industry. I have urged my US counterpart to rethink this, and the Prime Minister has also raised the issue with President Trump.
In the days following this announcement, the Government were asleep at the wheel. We now have only 12 hours before this tariff is implemented. What action will the Secretary of State take in the next 12 hours to delay this? If she cannot delay it, what will she do to mitigate the impact, particularly on small and medium-sized distillers, which rely so heavily on the US market?
I have been raising this issue with my US counterpart since July, when I first met Bob Lighthizer. I have also raised it with Commerce Secretary Wilbur Ross. I have made it clear to the Americans that it is not helpful in terms of our relationship with them to see these tariffs placed on such an iconic industry, among other industries in the UK.
I welcome my right hon. Friend’s efforts. In my recent urgent question I asked the Prime Minister to speak to the President, and he did, but I also asked that consideration be given to an announcement that the UK would not levy tariffs on bourbon when we left the EU. Can she tell us something about her consideration of that?
When we leave the EU, the UK will be responsible for its own tariff policy. At this point we are part of the EU and those overall discussions on tariffs, so we cannot make that type of statement. The point I have been making to the US is that this will not help our relationship. We are also being threatened with £1.2 billion of car tariffs, which could hit the UK on 14 November, and I have raised that with my US counterpart. If the US wants the British public to have a positive view of our trading relationship with it, it needs to reverse these decisions.
Scotch whisky producers will have difficulties with the tariffs that will fall on their whiskies, but the Republic of Ireland will have no tariffs whatsoever. Echlinville distillery in my constituency is an Irish whiskey producer. What is being done to help Bushmills and Echlinville distilleries, which are very important to jobs in my constituency and across Northern Ireland?
My understanding is that the Republic of Ireland has been hit with tariffs on other products. These retaliatory tariffs following the Airbus dispute have been levied on a number of European countries. The point I have been making to the Americans is that the UK has complied with the WTO ruling. We are not in breach of that ruling any more, and we have met all the compliance stats.
The Secretary of State is aware that my constituency is severely affected by a number of the tariffs applied by the US. What will she be doing in the next 12 hours to at least delay these tariffs being implemented? If they are, unfortunately, implemented, what can be done to get them removed as quickly as possible?
I am aware of the fantastic whisky distilleries—in fact, I visited Macallan with my hon. Friend very recently—and they are an incredibly important part of the Scottish economy, but also an iconic brand for the UK. I am hosting a roundtable with affected industries this afternoon, and the Chancellor is currently over in the US speaking to his counterpart as well. We are putting as much pressure as we can on the United States on this issue. We will also be looking at measures to help the industry here in the UK.
The best way to avoid potential tariff barriers is to support good free trade agreements with both the EU and the US. I hope the hon. Lady will support any deal the Government bring forward to make sure we can leave the EU with a deal.
I have spoken before about the impact of export tariffs on Welsh lamb and beef exports, which would be seriously damaging for the Welsh farmers I represent in Brecon and Radnorshire. We have heard the Government recently talk up Japan as a tariff-free export destination, but only £4,000 of lamb goes to that particular country. Can the Secretary of State provide a guarantee—yes or no—that the livelihood of Welsh farmers, such as those in Brecon and Radnorshire, will not suffer as a result of the imposition of these export tariffs?
I know that very high-quality lamb is produced in the hon. Lady’s constituency. In fact, I have visited the Rhayader sheep market and seen it for myself. I can assure her that the Department for Environment, Food and Rural Affairs is working with the Treasury to make sure there is support for lamb farmers in the eventuality of potential issues. However, we also need to open up more markets for British lamb. I have particularly got my eye on the US market—it is the second largest importer of lamb by value in the world—and we need to make sure that Welsh lamb farmers have more places to which they can export.
I am delighted to have been appointed as Trade Secretary at this vital time in our nation’s history. For the first time in 46 years, we will have an independent trade policy and be able to set our rules and regulations, which means that we will be able to strike deals with likeminded countries such as the United States, Japan, Australia and New Zealand. We will also be able to take up our independent seat at the World Trade Organisation, leading the fight for free trade and participating in the battle against protectionism.
Ninety per cent. of the world’s illegal deforestation takes place in the Amazon rainforest—something that the Paris agreement explicitly sets out to tackle and reduce. Does the Secretary of State agree that if we are serious about tackling climate change, the ratification and implementation of the Paris agreement must be a precondition for any country that wishes to make a trade deal with the United Kingdom?
I am a great believer that free trade and free enterprise help us to achieve our environmental goals through better technology, more innovation and more ingenuity. The Minister of State, my right hon. Friend the Member for Bournemouth West (Conor Burns), recently visited Brazil and discussed those precise issues with its Trade Minister.
Sylatech is a precision engineering business in Kirkbymoorside in my constituency, but it is suffering a significant business impact due to control delays on its export licence applications. Will my hon. Friend update the House with a timescale to resolve that problem?
The House recently passed a statutory instrument to extend EU protection against extraterritorial lawsuits under the US Helms-Burton Act. The Secretary of State will know that investors are already speaking with law firms to launch dispute proceedings against the UK under long dormant bilateral treaties. What estimates has she made of the quantum of such suits, and what protections will she introduce to safeguard the public purse and public policy?
I thank the hon. Gentleman for his question and I will look into that issue.
I can assure the hon. Gentleman that an incredible amount of work has been going on across Government to make sure that we are fully prepared for all scenarios. The Chancellor of the Duchy of Lancaster has been holding daily meetings—there have been 60 so far—and we are performing well, particularly on making sure that actions at the borders are in place.
Our biggest export sector is services, which are invisible, and particularly financial services. Our biggest export market is the US. What discussions has the Secretary of State had about opening up financial services exports to the US and removing some non-tariff barriers?
My hon. Friend is absolutely right—this is a fantastic opportunity for the UK. When I was out in the US, I met Bob Lighthizer, and I also met the Treasury Secretary to discuss those potential opportunities with him. The UK is not just going to roll over in a trade deal with the US. We will make sure that our industries are promoted. We want barriers removed in the US to our successful service industries.
I hope that the hon. Lady will be supporting the Prime Minister in his negotiations in Brussels, where he has already secured significant advances to where we were, in particular by ensuring that Britain is able to have its own independent trade policy once we leave the EU, and to control our own rules and regulations.
To avoid freeports just displacing activity, does the Minister agree that freeport activity should be based on the existing unique and distinctive capabilities of a port, such as Milford Haven, the UK’s leading energy port, which has an unrivalled skills base and infrastructure?
To be frank, a free trade deal with Colombia is not one of our urgent priorities.
As a result of devastating African swine fever, 130 million pigs have recently been slaughtered in China, which is home to half the world’s pigs. Is this not a great opportunity for my right hon. Friend, who did so much to open this market to British pig farmers, to promote the merits of British products from our pigs, including, of course, the unrivalled Gloucester Old Spot?
My hon. Friend is right. I was very proud to open the market for pigs trotters into China when I was Secretary of State for Environment, Food and Rural Affairs. Market access is very important. We have seen a massive increase in pork exports to China over the past five years. He is right that our high welfare standards and quality produce are valued across the world. There are lots of new opportunities, including for the Gloucester Old Spot.
Leaked documents from Operation Kingfisher showed that York would be the worst-hit place in the country in the event of no deal. What discussions is the Secretary of State having with my city to ensure that we will be able to trade after 31 October?
No doubt the hon. Lady will be supporting a deal to ensure that the good people of York have the trading opportunities that they deserve.
Returning to the issue of freeports, the Secretary of State visited Immingham in my constituency last year and saw for herself the great opportunities that exist to improve the local economy. Will she continue working with me to ensure that the Humber ports do indeed receive freeport status?
Does the Secretary of State accept the Food and Drink Federation’s analysis that, with a complex and confusing no-deal tariff schedule, investment made right across the supply chain in preparing for a no-deal Brexit means that food prices will likely increase?
The best way of avoiding no deal is for the—[Interruption.] The hon. Gentleman shakes his head, but this is common sense: the best way to avoid no deal is to vote for a deal.
Will the Secretary of State give us an update on where we are on joining the comprehensive and progressive agreement for trans-Pacific partnership?
I discussed that with Trade Ministers when I visited New Zealand, Japan and Australia. They are all very interested in the UK’s joining, and I want to progress that alongside the bilateral discussions that we are having with the countries. It will give us access to 11 fast-growing markets in Asia, so it is a massively exciting opportunity.
Will Ministers assure us that, in their desperation to sign any trade deal to justify their Brexit policy, they will not give a green light, or a nod and a wink, to President Bolsonaro to continue the destruction of the Amazon rain forest?
The issue of the response to the consultation on the Act is very important. It needs time for consideration, and I will want to study it closely.
Last night, at the PinkNews awards, Baroness Williams of Trafford, the House of Lords Minister for Equalities, said, “bear with us” on gender recognition reforms. Quite frankly, Minister, that is not good enough for people who are already going through one of the most difficult experiences they will ever face—more difficult than we can possibly imagine. They face abuse, discrimination and even, sadly, violence, just because of who they are. So I ask the Minister again: when will we see the results of the consultation, and can she assure me, and the people who are waiting on those results, that the most right-wing Government in decades will follow through on the GRA?
I completely condemn bullying or violence towards trans people, but I do not think that that could be confused with the complex piece of work that is the reform to the Gender Recognition Act. In particular, I will not be rushed into it. I am very keen that we protect single-sex spaces and vulnerable women, and that we do not rush into reform before we have had full, proper discussion.
I welcome the Minister to her new position and look forward to working with her on all these issues. I am losing count, but I think she is the fifth Minister whom I have shadowed since I have occupied this position. However, we do not start from the beginning every time we change Ministers.
Reform of the Gender Recognition Act was promised in 2016. The Minister does not need to look at it carefully; the Minister just needs to expose what came out of the consultation and amend the Act as promised. The Minister needs to stop kicking the can down the road. There has been a 37% increase in hate crime against transgender people, and the Minister is exacerbating the pain and the hurt in the LGBT+ community. Please, Minister, just reform the Gender Recognition Act already.
As I have said, I completely condemn violence against trans people, and we and the Home Office are doing a lot of work to combat it, but I think it is completely wrong to conflate that with a complex piece of legislation that we need to get right. There are serious concerns about single-sex spaces and ensuring that vulnerable women are protected, and we should get the legislation right rather than rushing into things.
I am afraid that the hon. Lady is trying to make this into a political football. What I am interested in is making the right decisions for the people of Britain so that we have proper protection for transgender people and also ensure that we protect our single-sex spaces.
Women represent half of the population, and I believe that we are missing out on a huge amount of talent because we do not have enough women in senior positions. I commend the work of Helena Morrissey who has achieved fantastic results with the 30% Club.
I do a lot of work with science and technology companies and there is still a struggle in many of them to get women into senior positions or get women in at all. We have been using the carrot for decades now to try to get more women into the boardroom; when are we going to start using the stick?
The hon. Lady talks about science and technology, and one of the big issues is the gap that we have in school education, with fewer girls going on to study maths and science later in their school careers and girls losing confidence earlier on in their school careers. The way for us to tackle that it is to improve our education system, which is why we introduced things such as the English baccalaureate and tougher maths GCSEs, and why we are working more on maths education. I am passionate about this, and I am very keen to drive it forward as Minister for Women and Equalities.
The construction industry is notoriously male-dominated, so will the Minister join me in congratulating Caroline Gumble, who has just become chief exec of the Chartered Institute of Building, of which I am a very proud member?
I completely agree: as well as Bob the builder, we need Brenda the builder. I congratulate my hon. Friend’s constituent on her fantastic achievement. In every walk of life, it should not matter whether someone is a woman or a man; it should matter how good they are and how much effort they put into the job. That is what we champion on this side of the House. We believe that it is about someone’s qualities as an individual, not what group they belong to.
I have to say that my focus in this job is not on bank holidays; it is on getting more women into work and getting them up the career ladder once they are in jobs. However, if the hon. Gentleman is offering to take on some work while women have a day off, I am sure that we would be very interested in that.
The Bank of England Monetary Policy Committee has nine members, eight of whom are women. Will the Minister encourage the Bank to employ more women in senior roles, and the Chancellor to appoint more women when he gets the chance?
The hon. Lady is right. I describe finance as the final frontier for feminism. We have never had a female Chancellor, and we have never had a female Governor of the Bank of England. The Governor’s job is coming up very shortly, so I am sure that the Chancellor will hear what the hon. Lady has to say.
My vision as Minister for Women and Equalities is to ensure that everyone has the freedom to be whoever they want to be and to shape their own future, regardless of their gender, sexuality, ethnicity or disability. I was proud to open the Asia chapter of the Global Equality Caucus during my recent visit to Japan, and I look forward to building on the excellent work of this Government: from ensuring 12 years of quality education for every girl internationally to removing the barriers that stop women getting on at work and bringing LGBT leaders from across the world together in May next year. Together we can make Britain the best place in the world to be a woman and to be LGBT.
The Child Maintenance Service is failing receiving claimants, most of whom are women. Will the Minister introduce tighter monitoring of direct pay compliance, stop collect and pay charges for receiving parents, and finally introduce a service that ensures effective enforcement of late payments?
I do not believe that we need the EU in order to have strong rights for women in Britain; I believe that we British women are strong enough to stand up for ourselves.
We have a gender gap not just in the workplace, but among entrepreneurs; one in 10 men in work are entrepreneurs, whereas only one in 20 women are. What does the Minister think would be the best way to address that?
My hon. Friend is right about this, particularly in respect of funding. Female-led businesses are getting less funding from venture capital than male-led businesses. We want to address these barriers and open up entrepreneurship to women across the country. We are lagging behind places such as Canada and Australia, and we need to do better.
It is perfectly proper that we make sure that the right people are voting and that they bring ID with them to the polling to station. We have had issues with electoral fraud in this country.