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Starmer Secures £4.5bn Trade Deals in Successful China Visit

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Last updated: January 31, 2026 4:52 am
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Starmer Secures £4.5bn Trade Deals in Successful China Visit
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Prime Minister Sir Keir Starmer concludes his three-day visit to China by announcing billions of pounds in trade agreements and investments aimed at boosting the UK economy. Departing from Shanghai on Saturday, Starmer emphasizes that re-engaging with China will deliver tangible benefits for British businesses and workers.

Contents
Focus on Stability and Economic GrowthKey Business InvestmentsTariffs, Visas, and Sanctions LiftedChallenges on Human Rights and International Relations

Focus on Stability and Economic Growth

Starmer highlights the importance of a stable, long-term approach to relations with China. ‘We are bringing stability, clarity and a long-term strategy to how we engage with China, so we can bring home the benefits for businesses and for working people,’ he states. ‘Engaging with China is how we secure growth for British businesses, support good jobs at home and protect our national security.’

The trip, which includes over 50 representatives from British businesses and cultural organizations, results in £2.2 billion in export deals and £2.3 billion in market access over the next five years. Chinese firms commit hundreds of millions of pounds in investments to the UK.

Key Business Investments

Pop Mart, the company behind the popular Labubu dolls, plans to open seven stores across the UK, including a flagship location on London’s Oxford Street. Additional sites are targeted for Birmingham and Cardiff. When asked about the toy, Starmer mentions receiving one during the visit, noting, ‘I don’t think it’ll last long with my children.’

Automaker Chery announces its European headquarters in Liverpool, near an existing Jaguar Land Rover facility. In the cultural sector, the World Snooker Tour secures a new event in two Chinese cities, potentially generating up to £15 million.

Tariffs, Visas, and Sanctions Lifted

China agrees to halve tariffs on British whiskey, effective Monday, benefiting the UK by an estimated £250 million over five years. An agreement also paves the way for visa-free travel to China for British nationals, with details pending but Downing Street expressing full confidence in its implementation.

Politically, President Xi Jinping lifts sanctions on six British parliamentarians, marking a diplomatic win. Starmer describes this as evidence that engagement enables raising sensitive issues. ‘It showed engaging with China allowed me to raise difficult, sensitive issues which you can’t raise if you are not in the room,’ he tells broadcasters.

Challenges on Human Rights and International Relations

Despite these gains, Starmer faces calls at home to address human rights concerns, such as the detention of Hong Kong activist Jimmy Lai and the situation of the Uighur minority. Sanctioned MPs and peers issue a statement expressing no relief from the lifted restrictions while these matters persist.

Closer UK-China ties draw criticism from US President Donald Trump, who labels the visit ‘dangerous.’ Starmer dismisses the remarks, pointing out that Trump focused more on Canada and reaffirming the strong alliance between Britain and America.

Starmer wraps up the trip with meetings alongside senior Chinese Communist Party officials in Shanghai before heading to Japan for discussions with Prime Minister Sanae Takaichi over a working dinner.

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