UK-China thaw signals a cautious reset in economic ties

Sir Keir Starmer's visit to Beijing marked a cautious reset in UK-China relations, producing agreements on 30-day visa-free travel and reduced Scotch whisky tariffs; business announcements included AstraZeneca's pledge to expand investment in China and Octopus Energy's new partnership.

Sir Keir Starmer this week visited Beijing in the first UK prime ministerial trip to China since 2018. The visit is being reported as a move to ease the diplomatic "ice age" that has shaped bilateral relations. Both governments face economic pressures at home and are seeking new opportunities for trade and investment. The trip included official talks alongside a UK business delegation. Key developments: - Sir Keir met President Xi and led the first UK prime ministerial visit to China since 2018. - China agreed to allow visa-free travel for British visitors for up to 30 days. - Beijing agreed to halve tariffs on Scotch whisky, a move the UK government said could boost exports. - AstraZeneca announced a pledge to invest $15bn in China over the next four years to expand research and manufacturing. - Octopus Energy revealed a partnership with PCG Power to develop a digital electricity trading platform in China. - Both sides reported agreements or dialogue on visas, services, healthcare, green technology and finance, and on cooperation to disrupt migrant-smuggling networks. Summary: The visit represents a cautious economic reset that could broaden market access and investment links between the UK and China while stopping short of a sweeping free trade deal. Announcements combined diplomatic confidence-building with several commercial commitments. Undetermined at this time.