CPTPP guidance for seafood traders

This guidance outlines the benefits of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) for the UK seafood industry.

The agreement will come into force in December 2024, offering UK seafood exporters new opportunities in the Asia-Pacific region and beyond.

Overview

The CPTPP is a trade agreement among 11 nations, with the UK being the most recent and only European member.

Seven member countries - Japan, Singapore, Chile, Peru, New Zealand, Malaysia, and Vietnam have ratified the UK's accession.

As a result, UK businesses can take advantage of tariff reductions and improved market access in these markets when the trade agreement comes into force on December 15th. The trade agreement will not come into force for the remaining member countries, such as Canada and Mexico, until they have signed off the UK’s accession protocol.

Tariffs

One of the key benefits of the CPTPP is the reduction or elimination of tariffs on UK seafood exports to member countries.

While the UK already has zero-rated tariffs on seafood imports into the UK, this trade deal significantly improves the competitiveness of UK seafood in several key export markets.

Each CPTPP member sets its own schedule for reducing tariffs, meaning the timeline and extent of tariff reductions can differ across countries. As a result, the specific tariff rates applied to UK seafood exports will vary depending on the member nation.

Once the trade agreement has come into force you will be able to view the CPTPP tariff rates via the Gov tariff look up tool.

1. Vietnam has historically imposed high tariffs on seafood imports, creating a significant barrier for UK exporters. Under the CPTPP, these tariffs are being phased out over time, offering new opportunities for UK businesses:

Lobsters: Current tariffs of 20% will be progressively reduced to 0% over a five-year period.
Crabs and Shrimp: Tariffs of 10%–15% will be eliminated over the same time frame, helping UK exporters compete more effectively with regional suppliers.
Finfish: Tariffs on cod and mackerel, which currently range from 5% to 10%, will be reduced to 0% within three years.

Vietnam presents itself as a key market for the UK within the CPTPP alliance. There is both a growing market for premium seafood, and a processing industry that can act as a hub for UK seafood to access other Asian markets.

Exporters of seafood to Vietnam are required to be registered with local authorities. For further guidance on how to become registered for exports to Vietnam, please contact the Regulation Team.

2. Japan is a key market for UK seafood, with a high demand for premium products such as shellfish. The CPTPP is making these exports more competitive by eliminating tariffs on various products:

Scallops: The 3-5% tariff on scallops will be completely eliminated by 2026, reducing costs for Japanese importers and enhancing the appeal of UK shellfish.
Clams and Oysters: Current tariffs of 3%–5% will be phased out by 2025.
Crustaceans: Tariffs on lobster, crab, and shrimp will also be reduced to 0% within five years.

Japan is the highest importer of seafood within the CPTPP by a clear margin and has an established market for high quality UK seafood. CPTPP tariff eliminations build on the bilateral trade agreement between the UK and Japan to offer a more comprehensive coverage of preferential tariff rates for UK seafood destined for the Japanese market.

3. Chile's tariffs on seafood imports from the UK are relatively low but will still be eliminated under the CPTPP:

Mussels: A current tariff of 6% will be reduced to 0% over a three-year period.
Crabs and Lobster: Tariffs on these products will also be eliminated by 2026, offering better market access for UK exporters.

4. Peru, while a smaller market, offers opportunities for UK seafood businesses.

Crustaceans and Molluscs: Tariffs ranging from 5% to 10% will be reduced to 0% within five years.
Finfish: White fish species like cod and haddock, currently subject to 7% tariffs, will see full tariff elimination over the next five years.

5. Australia and New Zealand recently signed separate free trade agreements (FTAs) with the UK, eliminating most seafood tariffs before the CPTPP.

As a result, the additional tariff benefits under the CPTPP are minimal, with these agreements mainly harmonizing trade standards across the CPTPP countries. Key products such as salmon, lobster, trout, and shellfish enjoy duty-free access to both markets, enhancing market entry and supply chain flexibility for UK exporters.

6. Singapore has maintained zero tariffs on seafood imports, providing immediate duty-free access to the UK’s seafood exports under the CPTPP. While Singapore’s market is smaller, it is an important hub for premium seafood distribution within Southeast Asia, with potential for high-value UK seafood products, particularly shellfish and finfish.

Rules of Origin

The CPTPP’s Rules of Origin (RoO) offers benefits for UK seafood traders, making it easier to qualify for lower tariffs in CPTPP member countries.

Under the CPTPP, UK seafood products can qualify as ‘originating’ goods if they meet specific requirements, meaning they can be eligible for reduced or zero tariffs when exported within the CPTPP.

For example:

Wholly Obtained: Seafood that is entirely sourced or caught in the UK is considered originating.

Processing in CPTPP Countries: Goods made from non-originating materials can still qualify if they undergo a specific transformation or ‘change in tariff heading’ according to CPTPP Rules of Origin.
For seafood, this could include steps like filleting, freezing, or smoking.

The agreement allows flexibility, letting processors meet origin requirements in two main ways. The most common approach is through a tariff classification change, where the processing significantly alters the product (like turning raw fish into fillets).

Alternatively, companies can qualify by meeting a Regional Value Content (RVC) threshold, meaning a certain percentage of the product's value comes from CPTPP-originating materials.

The Accumulation Rule further helps seafood traders as it allows materials from any CPTPP country to count as originating. This enables UK seafood businesses to partner with processors in other CPTPP countries, like Vietnam, while maintaining the products originating status. For example, if seafood caught in the UK is processed in Vietnam, it still qualifies as a UK-origin product when sold to another CPTPP country.

Overall, these rules make it easier for UK seafood businesses to develop efficient, multi-country supply chains within the CPTPP. If you are unsure about whether your goods qualify for preferential origin, please contact the Seafish Regulation Team.

Sanitary and Phytosanitary (SPS) Measures

The CPTPP includes provisions on Sanitary and Phytosanitary (SPS) Measures, ensuring that food safety and health standards are upheld across all member countries. For UK seafood traders, this creates greater transparency and harmonization of regulations, making it easier to comply with varying market requirements.

However, it’s important to note that SPS equivalence between the UK and CPTPP members does not automatically exist when the agreement comes into force. For SPS equivalence to be recognized, countries must formally apply for it, and the process requires approval from both parties.

The agreement promotes the use of scientific evidence in resolving SPS disputes, which helps prevent unjustified trade restrictions on UK seafood products. By streamlining the resolution process and aligning standards, this will help UK businesses avoid unnecessary delays at borders and reduce the costs of meeting import requirements.

New Market Access

One of the most promising aspects of the CPTPP for the UK seafood industry is access to new markets like Malaysia. For the first time, UK seafood exporters will benefit from preferential tariff rates and improved trade terms in this rapidly growing market.

Malaysia has traditionally imposed substantial tariffs on a range of seafood products. This agreement marks a significant shift, allowing UK exporters access to a market with growing demand for premium seafood:

Prawns: Tariffs of 10% will be gradually reduced to 0% over five years, making UK prawns more competitive.
Squid and Octopus: Tariffs of 15% on squid and octopus will also be phased out by 2028.
Finfish: Cod, haddock, and other white fish, currently subject to tariffs of 5%, will enjoy duty-free access within three years.

While Brunei has not yet ratified the agreement, it is expected to do so soon, further expanding market access in Southeast Asia. The UK’s high-quality, sustainably sourced seafood products are well-positioned to meet growing demand in these markets.

By reducing tariffs, easing regulatory burdens, and opening up new markets, the CPTPP presents significant growth opportunities for the UK seafood industry. With the agreement set to come into force in December 2024, UK seafood exporters can look forward to expanding their global reach and increasing their competitiveness in key markets across the Asia-Pacific region.

For further guidance, please contact the Seafish Regulation Team at regulation@seafish.co.uk.