A-UKFTA

Question 1

Date, basics of A-UKFTA

Answer 1

-Entered into force on 31 May 2023
-Meant more than 99 per cent of Australian goods enter the UK duty free (exports like wine, rice, honey)
-Various new investment rules
-Australians b/w age 30 and 35 will be able to apply for working holidays in the UK and stay for a maximum of three years (up from two)

Question 2

Idealism/ pragmatism

Answer 2

-This case study ties into idealism as the UK only accounts for 2.3% of Australia’s trade and is not in the top 10 trading partners.
-Therefore, this FTA is unlikely to significantly alter the Australian economy, and is therefore not a pragmatic decision

Question 3

Factors contributing to action

Answer 3

-For UK, BREXIT (as after having removed itself from the EU, UK was no longer a part of all of the EU’s FTA’s)
-For Australia, as a result of the trade sanctions put in place by China, Australia needed to find other avenues for its exports. This ties into diversification as Australia is no longer relying on China as much for its trade.

Question 4

Relative FPI, Power

Answer 4

-Trade FPI
-Economic power
-Soft power

Question 5

Relative national interest

Answer 5

-Economic prosperity (refer to stat of 99% Aus g+s become duty-free)

Question 6

Effectiveness

Answer 6

-Projected to boost trade by $11.8 billion “in the long run” Anthony Albanese - will be effective for diversifying, though limited at moment seeing as UK is not one of our top trade partners