Culture Class: Getting to know the CPTPP

The CPTPP, or to give it the full name the Comprehensive & Progressive Agreement for Trans-Pacific Partnership, has become a regular feature of international trade discussions over the last couple of years.  

The buzz around the CPTPP is only likely to grow throughout 2025 as businesses start to utilise the agreement and the much-talked-about potential becomes a reality.  

As an early Christmas present, the CPTPP will enter into force with eight of the eleven member countries from December 15th, and Australia from Christmas Eve. That leaves just two countries (Canada and Mexico) to ratify the UK’s accession to the CPTPP. Once Canada and Mexico ratify the UK’s accession, business will be able to utilise the agreement with that particular country 60 days later.  

However, how well do you know the eleven countries that currently make up the CPTPP? Join us as we take a quick dive into each of the eleven members and lay-out some key business & cultural pointers that you need to consider. 

Australia

From which date can I benefit from the CPTPP when trading with Australia? 24th Dec ‘24  

Total trade (four quarters to end of Q2 ‘24): £22.3 billion ( 14.3%)  

24th largest goods trading partner  

11th largest services trading partner  

2.2% UK market share in Australia in 2023 for goods only  

14.5% UK market share in Australia in 2023 for services only  

14th largest economy in the world in 2023  

Population: 27.3 million  

Top Cultural Tips:  

• Australians generally downplay their success. To build a good relationship it is important that you act in a similarly modest way otherwise you run the risk of being deemed as arrogant  

• Punctuality when arriving to meetings and sticking to a schedule is important in Australian business. Do not pencil an hour in the diary if you expect that it is more likely to take two.  

• Business conversations can usually come across as quite informal and building a closer bond can be integral in business relationships. However, be careful not to misinterpret a more laid-back approach as lack of work ethic, Australians are hard workers and can hold serious business discussions while taking a casual approach.  

• Hierarchy is less important in Australia with everyone across the business on first-name terms and an open-door policy can commonly be found. Similarly, anyone at a meeting is generally welcome to give their opinion.  

• Australians generally work some of the highest number of hours across the globe and often start their day earlier than is common across the rest of the globe.  

• Australians can be quite direct and clear-cut in their communication. As such, you may find that negotiations progress quickly and they encourage getting to the point when conducting presentations. 

Brunei:

From which date can I benefit from the CPTPP when trading with Brunei? 15th Dec ‘24  

Total trade (four quarters to end of Q2 ‘24): £120 million ( 43.9%)  

139th largest goods trading partner  

140th largest services trading partner  

0.5% UK market share in Brunei in 2023 for goods only  

5.2% UK market share in Brunei in 2023 for services only  

137th largest economy in the world in 2023  

Population: 500,000  

Top Cultural Tips:  

• It is important that you appreciate that time and effort may need to be taken to build a relationship and rapport before any deal can be struck. Patience can be a key skill when dealing with negotiations that can be lengthy.  

• Hierarchy plays a more significant role in business. Senior members of a team will generally expect to be addressed with their proper titles during meetings and negotiations.  

• Due to the hierarchical nature, make sure that you are speaking to someone in a senior position who can impact and make decisions.  

• Brunei is a Muslim-majority country, so understanding Islamic values can be an important step when looking to build a business relationship.  

• Body language can be key and sometimes provide a more honest indication of what your potential business partner is thinking. Look to keep a calm demeanour throughout and avoid pointing. Likewise if you find your counterpart sat there with a furrowed brow it might indicate that they are not interested even if they will not directly say this to you. 

Canada:

From which date can I benefit from the CPTPP when trading with Canada? TBC  

Total trade (four quarters to end of Q2 ‘24): £26.4 billion ( 4.7%)  

17th largest goods trading partner  

15th largest services trading partner  

1.5% UK market share in Canada in 2023 for goods only  

7.3% UK market share in Canada in 2023 for services only  

10th largest economy in the world in 2023  

Population: 41.1 million  

Top Cultural Tips:  

• Canada business culture can be described as a blend of American, British and French.  

• Generally speaking, Canadians find a blend of directness and politeness when it comes to business discussions. Diplomacy and a respectful approach are two key aspects of communication.  

• The use of first names is common regardless of an individual's position within a business.  

• It can depend on the business and their sector however hierarchy can be less formal and structured than in some other countries. For example, this can result in anyone (regardless of their position) being encouraged to share their opinions during business meetings.  

• Canadians tend to avoid hard or tough negotiation tactics. Time, consideration and conversation is more spent on finding a result that is win-win for both parties.  

• Often, once a decision has been made, its implementation is can be rapid.  

• It is important to build a strong rapport with any Canadian counterpart but, for the majority, they still keep a clear line between their work and social life. Discussions about topics such as family and hobbies may be limited particularly at the beginning of a relationship. 

Chile: 

From which date can I benefit from the CPTPP when trading with Chile? 15th Dec ‘24  

Total trade (four quarters to end of Q2 ‘24): £1.7 billion ( 10.7%)  

62nd largest goods trading partner  

76th largest services trading partner  

0.8% UK market share in Chile in 2023 for goods only  

3.9% UK market share in Chile in 2023 for services only  

47th largest economy in the world in 2023  

Population: 20.1 million  

Top Cultural Tips:  

• Throughout Chilian culture, relationships play a key role. This feeds into business as well meaning that developing relationships can be key to successful business. Building relationships can take time so make sure you factor this in when considering time frames.  

• At the start of meetings, it is common for business cards to be exchanged and for introductions to be made using titles and surnames. As the relationship grows, you may then be invited to call someone by their first name.  

• Consider whether it is necessary for you to translate your business card into Spanish.  

• Generally, meetings with Chilian counterparts can be quite flexible in their timings and agendas. It is not uncommon to end up discussing matters which were not previously set out in the agenda, for meetings to over-run, or for parties to interrupt or talk-over one another. This is seen as a sign of interest rather than disrespectful.  

• Decisions are usually made by the most senior members of a team after a meeting has taken place. As such, don’t be downhearted if you feel that no definitive decision was made during a meeting. This can be the norm. 

Japan: 

From which date can I benefit from the CPTPP when trading with Japan? 15th Dec ‘24  

Total trade (four quarters to end of Q2 ‘24): £27.2 billion ( 4.7%)  

16th largest goods trading partner  

13th largest services trading partner  

1.1% UK market share in Japan in 2023 for goods only  

4.2% UK market share in Japan in 2023 for services only  

4th largest economy in the world in 2023  

Population: 123.9 million  

Top Cultural Tips:  

• Japanese business culture is based on consensus and cooperation. Cooperation and long-term commitment is valued and vital to forming strong relationships in Japan. Doing business in Japan typically takes longer than in the west as a result.  

• Whilst Japanese buyers typically enter into loyal and long-lasting relationships with their suppliers, such relationships take time to forge since trust is a key precursor to loyalty.  

• Japanese businesses are more likely to take into account the views of wider stakeholders and staff before making decisions. Again, this means decisions can be slower to reach, and this needs to be factored into business plans. Also, it can result in a larger number of your Japanese counterparts attending any business meetings.  

• Punctuality is paramount in Japanese business meetings. Aim to arrive at least ten minutes early to any business meeting, whether online or in person since prompt arrival demonstrates respect for your counterpart’s time.  

• Having an up-to-date, professional business card can be vital. Make sure the business card has been translated into Japanese and, when receiving a business card, you take time to read and digest the information on the card. 

Malaysia: 

From which date can I benefit from the CPTPP when trading with Malaysia? 15th Dec ‘24  

Total trade (four quarters to end of Q2 ‘24): £5.7 billion ( 3.1%)  

38th largest goods trading partner  

48th largest services trading partner  

1.1% UK market share in Malaysia in 2023 for goods only  

3.8% UK market share in Malaysia in 2023 for services only  

37th largest economy in the world in 2023  

Population: 33.5 million  

Top Cultural Tips:  

• Generally, in Malaysia, the most senior individual will enter a room first, and be the first to be introduced. The importance of hierarchy flows throughout Malaysian business culture so make sure you understand, appreciate and acknowledge their hierarchy.  

• In terms of business cards, your approach should be the same as it would be when dealing with Japanese businesses. How you treat a business card can be indicative of the respect you show the individual and their business.  

• Business negotiations can be lengthy with time taken before any agreement is in place. Make sure you plan for such time and remain patient while your Malaysian counterparts discuss your proposal internally.  

• Some people in Malaysia are practising Muslims and will pause any meeting if it conflicts with midday prayers.  

• Expect to be asked about your family and personal life as trust is a big part of doing business in Malaysia. Similarly, take time to ask about your counterpart's family as showing interest in their personal life will be a positive step in your relationship.  

• Be careful not to lose your temper or to come across as too aggressive. Disagreements (inc. internal criticism) are generally resolved in the most diplomatic and private manner possible. 

Mexico: 

From which date can I benefit from the CPTPP when trading with Mexico? TBC  

Total trade (four quarters to end of Q2 ‘24): £6.2 billion ( 7.9%)  

39th largest goods trading partner  

41st largest services trading partner  

0.4% UK market share in Mexico in 2023 for goods only  

2.5% UK market share in Mexico in 2023 for services only  

13th largest economy in the world in 2023  

Population: 132.3 million  

Top Cultural Tips:  

• Similarly to some of our other markets, hierarchy is important in Mexico. Make sure you’re not only corresponding with your Mexican counterparts with the necessary respect but also ensure that you send the right people (with the right titles) to your meetings, especially at the beginning.  

• Generally, punctuality and timings can be less rigid in Mexico. As such, do not be surprised if your meeting starts later than planned because your Mexican counterpart is late. Also, make sure you take the time to re-confirm the meeting a week and/or a day before the scheduled is due to start.  

• WhatsApp is used across Mexico and has seeped into the business world. Don’t be too put off if you start receiving WhatsApp messages from your Mexican counterpart.  

• To help build your business relationship you may be invited to a business breakfast or lunch. Take the opportunity to build a rapport as this can go a long way in securing business.  

• In Mexico, both time and effort are invested in building strong relationships which can influence business decisions. As such, be prepared to openly talk about family and your personal life and to similarly ask your counterparts about their own.  

• Mexicans have a very strong work ethic and work some of the longest hours in the western world. 

New Zealand: 

From which date can I benefit from the CPTPP when trading with New Zealand? 15th Dec ‘24  

Total trade (four quarters to end of Q2 ‘24): £3.4 billion ( 7.2%)  

52nd largest goods trading partner  

54th largest services trading partner  

2.8% UK market share in New Zealand in 2023 for goods only  

7.3% UK market share in New Zealand in 2023 for services only  

53rd largest economy in the world in 2023  

Population: 5.4 million  

Top Cultural Tips:  

• When being introduced to a potential New Zealand supplier/ customer, it is best to use your full name but with the knowledge that following the initial introduction, most people will refer to you by your first name only.  

• Due to a strong belief in equal opportunity, it is generally expected that any individual within a meeting can express their opinion, and no one needs to be provided permission before doing so.  

• New Zealanders can be direct when doing business and expect you to be realistic and upfront in your approach. Make sure that you have facts to back-up what you say and that you are not unrealistic in your expectations.  

• Similarly, when talking, pitching or presenting to a New Zealand business, it is best to stick to facts and not to overpromise or to come across as bragging. New Zealanders generally try to avoid making overly ambitious or unrealistic promises and prefer to be modest about their own achievements.  

• Negotiating or haggling is not a common practice in New Zealand. 

Peru: 

From which date can I benefit from the CPTPP when trading with Peru? 15th Dec ‘24  

Total trade (four quarters to end of Q2 ‘24): £1.3 billion ( 48.1%)  

64th largest goods trading partner  

98th largest services trading partner  

0.6% UK market share in Peru in 2023 for goods only  

1.0% UK market share in Peru in 2023 for services only  

50th largest economy in the world in 2023  

Population: 34.1 million

Top Cultural Tips:  

• Generally, and especially when first meeting someone, you should use their title and surname. Learning to say your counterparts title in Spanish at the very least can be appreciated and a good first impression.  

• Trust is an important value across Peruvian culture. Meetings can be lengthy with considerable small-talk before you start to discuss any business.  

• Time is not always best kept so don’t worry if your counterpart is late to a meeting. Similarly deadlines are not always best kept as the term “manana” (tomorrow) can have a range of meanings.  

• Usually, Peruvians try to avoid conflict and disagreements. As such, don’t simply believe a meeting went well just because your Peruvian supplier/ customer did not directly raise any concerns.  

• Personal relationships, and the idea of ‘who you know rather than what you know’, can have an impact on the likelihood of you having a successful business relationship. 

Singapore: 

From which date can I benefit from the CPTPP when trading with Singapore? 15th Dec ‘24  

Total trade (four quarters to end of Q2 ‘24): £21.7 billion ( 3.9%)  

21st largest goods trading partner  

16th largest services trading partner  

2.1% UK market share in Singapore in 2023 for goods only  

3.5% UK market share in Singapore in 2023 for services only  

31st largest economy in the world in 2023  

Population: 5.9 million  

Top Cultural Tips:  

• Singapore has one of the highest population densities in the world with numerous languages spoken and individuals with a wide range of cultural backgrounds. English is the language of government and business but you may also find Mandarin, Chinese, Malay and Tamil spoken.  

• Status and hierarchy are important so make sure that you treat individuals with the required level of respect. Decisions are generally made by those at the top rather than taking a collaborative approach.  

• Due to the importance of hierarchy, make sure you send at least one individual to meetings with the appropriate level of status and influence to show respect to your Singaporean counterparts. Introductions are made in order of seniority.  

• When in meetings, make sure you identify the most senior individual and to direct your questions and communication directly to them.  

• Generally, in Singapore, people build business relationships based on trust and with a long-term view. This means that you won’t be able to rush the relationship, and it can feel like you make slow progress originally, but it can result in long-term success.  

• As in other cultures we’ve discussed, how you receive a business card can be an indication of the respect that you will show the individual and their business.  

• Unlike in some cultures, you may need to openly ask for questions or invite opinions from your Singaporean counterparts. Similarly then may feel comfortable in periods of silent reflection, don’t be tempted to interrupt. 

Vietnam: 

From which date can I benefit from the CPTPP when trading with Vietnam? 15th Dec ‘24  

Total trade (four quarters to end of Q2 ‘24): £6.4 billion ( 2.9%)  

29th largest goods trading partner  

68th largest services trading partner  

0.3% UK market share in Vietnam in 2023 for goods only  

1.9% UK market share in Vietnam in 2023 for services only  

35th largest economy in the world in 2023  

Population: 100.8 million  

Top Cultural Tips:  

• It is important to show respect when receiving a business card. Take time to read the business card and to treat it with care. Due to the importance of business cards, you may wish to have your own business cards translated.  

• Generally, you will find that people enter a room in order of importance. Take the time to greet each individual even if this may seem time consuming.  

• Prior to meeting a Vietnamese counterpart, it is useful to take the time to follow-up to confirm everyone’s attendance.  

• Family and relationships are a key part of Vietnam culture. This is also the case in business with most new relationships coming from a referral from a trusted source. As such, your business may find it difficult to make that first connection however, once that is in place, they can help you to quickly grow your connections.  

• ‘Face’ is an important concept in Vietnam and people will do what they believe is necessary to avoid losing face. This may mean that they do not wish to engage in confrontation or disagreements and they could use a third-party to reject a proposal. 

Conclusion: 

The above information simply scratches the surface when it comes to the opportunities and cultural nuances in each of these eleven countries.  At the very least we hope that it shows the truly global reach of the CPTPP and how varied the different markets can be.    

As such, it’s vital that you conduct your market research to find the market that is best placed for your product or service.  Once you’ve identified the best opportunities then take the time to understand their business culture.  Taking time to conduct this research initially can save you a lot of time, money and resources further down the line.    

The CPTPP offers opportunities in every corner of the globe.  Regardless of where you sit on the supply chain, the CPTPP may just help propel your business in 2025 and beyond.