As regards trade, England and China are made for each other. England has a divers skill set — cognitive and physical that few other countries can match — and China has a vast consumer market that is, at present, only half developed.
Until now, and being bound by the EU’s tariffs against foreign products, we have not been able to trade with China to anywhere near the same extent as we could have done. China has been frustrated as we have been, and one of its senior officials, Xing Houyuan told the government newspaper, China Daily yesterday that, now we are leaving the EU, a trade treaty between China and the UK is high on the agenda.
This is a different story from our trade with America where Obama has already threatened that we’ll be at the back of the queue if it came us wanting a trade treaty. But we oughtn’t to worry too much because China’s middle-class is already as large as the total American population, and it will grow a lot larger in the coming decades.
To a considerable extent, George Osborne has called Obama’s bluff by giving warning that we’ll be reducing corporate taxes to 15% — knowing full well that it will be American firms more than any other country’s that will take advantage by moving their headquarters here.