The European Parliament has approved a landmark free trade deal with Singapore which will gradually eliminate tariffs on goods and services over the next five years.
Several votes with a large majority approved the European Union-Singapore Free Trade Agreement (EUSFTA) which now requires each member state to give their final approval before it comes into force.
The deal will also offer new opportunities for businesses on both sides to expand in each other's regions and will allow EU firms to compete for public procurement contracts in Singapore.
If Britain crashes out of the European Union without a withdrawal agreement in place on 29 March, the UK will not have access to the new free trade agreement with Singapore.
British MEP David Martin, the rapporteur on the agreements, said the approval demonstrated the EU’s desire to “keep fair and free trade alive".
“The trade agreement will not only enhance the EU’s access to the Singapore market, but even more to the growing Association of Southeast Asian Nations region, while ensuring workers and the environment are well protected,” Mr Martin said.
“The investment protection agreement incorporates the EU’s reformed approach, and will replace the existing Singapore-EU member state deals that include the toxic investor-state dispute settlement.”
The EU and Singapore trade about 50 billion euros (£44bn) in goods and 40 billion euros (£35bn) in services a year.
Singapore is the EU’s largest partner in the region, accounting for almost a third trade in goods and services and roughly two-thirds of investment between the two regions.
Over 10,000 European companies have their regional offices in Singapore.
Additional reporting from agencies
