In a move aimed at bolstering economic ties and promoting trade and investment, the United Kingdom and the US state of Washington have inked a Memorandum of Understanding (MoU). The agreement, signed on September 25th, underscores the commitment of both entities to deepen their partnership and explore new avenues of collaboration.
Washington State’s Economic Significance
Washington State, renowned as a hub for major American corporations including Amazon, Starbucks, Microsoft, and Boeing, holds an economic clout that is comparable to entire countries like Poland. Its bustling economy and innovative industries make it an attractive destination for international cooperation.
The Sixth MoU in the UK’s State-Level Strategy
This MoU marks a significant milestone in the UK’s state-level strategy to boost trade with the United States. The UK has now established such agreements with six US states: Indiana, North Carolina, South Carolina, Oklahoma, Utah, and, most recently, Washington. Collectively, these states imported £5.1 billion worth of UK goods in 2022, highlighting the substantial trade potential.
While these agreements have been instrumental in fostering economic partnerships, the UK government is actively engaged in discussions with additional states, including Florida, Texas, California, Colorado, and Illinois. These states present immense opportunities for increased trade and investment in various sectors.
Aerospace Takes Center Stage
Aerospace, a sector of strategic importance, is set to play a pivotal role under this MoU. It seeks to facilitate more deals and collaborations between the UK and Washington State, further solidifying their partnership. Boeing, one of the world’s leading aerospace companies, has already invested over £12 billion in the UK supply chain since 2015.
Boeing’s recent investment in a £80 million composite research facility in Sheffield exemplifies the enduring partnership between the UK and the aerospace giant. This facility is poised to establish long-term partnerships and supply chains, driving innovation through research and design.
Minister Ghani’s Optimism
Minister for Industry and Economic Security Nusrat Ghani expressed optimism about the pact, emphasizing its significance in opening doors for UK businesses and enhancing opportunities across key sectors. Each US state represents a substantial global market, and these agreements collectively mark a significant milestone, surpassing the £2 trillion mark for combined GDP.
Washington’s Commitment to Sustainability
Washington State Governor Jay Inslee highlighted the focus on clean technology and industry in the MoU, emphasizing the state’s leadership in sustainable aerospace and aviation. The partnership aims not only to boost economies but also to reduce carbon emissions on a global scale.
Apart from aerospace, the MoU aims to strengthen trade relationships in various sectors, including clean energy, digital, life sciences, supply chain resilience, agriculture, and innovation. It also seeks to broaden market access, facilitating government procurement and recognizing professional qualifications between the UK and Washington.
Fostering Innovation and Collaboration
As the UK delegation, led by Minister Ghani, attends the 2023 Boeing Supplier Showcase, it underscores the importance of fostering innovation and collaboration between nations and industries. The showcased UK businesses will have the opportunity to engage with Boeing’s procurement and supply chain teams, further enhancing economic ties.
The MoU between the UK and Washington State signifies a promising future of cooperation, trade, and innovation. It reinforces the commitment of both entities to create an environment conducive to economic growth, job creation, and sustainable development, all while promoting global decarbonization efforts.
Source: Gov[Dot]UK
