Written submission from Paragraf (UKT0034)
Paragraf welcomes the opportunity to provide evidence on the UK’s recent trade agreements with the EU, India and the United States. As a UK-based pioneer in graphene-based semiconductors and sensor technologies, our business relies heavily on international collaboration, secure supply chains and access to highly skilled talent.
We view these agreements as broadly positive, offering tariff reductions, expanded R&D opportunities and improved mobility for global talent. However, they also carry risks, particularly US-driven supply chain restrictions that may reduce flexibility, increase costs and limit engagement with certain partners – notably China.
For Paragraf, the key opportunities lie in:
Parliament should judge success not just by headline trade volumes, but by the degree to which SMEs in strategic industries can leverage these deals to scale innovation, recruit global talent and strengthen resilient supply chains.
Founded in 2017 as a spin-out from Cambridge University, Paragraf has developed proprietary methods for manufacturing graphene-based electronic devices at commercial scale using standard semiconductor processes. Our technology addresses fundamental limitations of conventional electronics, promising superior performance in harsh environments while enabling new applications in a range of industries including cryogenics, agritech, automotive, healthcare and industrial automation..
The company represents a critical national asset in advanced materials, with our intellectual property and manufacturing capabilities positioning the UK as the global leader in next-generation semiconductor technology. We currently employ over 100 high-skilled workers – mostly in Cambridgeshire – with plans for significant expansion dependent on successful market access across key trading regions.
Contents
1.1 Do the agreements represent a good deal for the UK?
1.2 To what extent has the Government achieved its stated negotiating objectives?
1.3 How should Parliament judge the success of these agreements over the coming years?
2.2 What is likely to be the impact of the agreements on:
2.2.1 the UK’s economy as a whole?
2.2.2 UK producers, including SMEs and key sectors
2.2.3 UK workers and consumers?
Yes, broadly. From Paragraf’s perspective as a high-tech SME in the advanced materials and semiconductor sector, the agreements with the EU, India and US improve access to markets that are strategically important for growth, investment and collaboration. They offer tariff reductions, support R&D partnerships and ease talent flows. However, the US agreement includes provisions that may implicitly restrict UK businesses from sourcing from certain countries (e.g., China), which could impose longer-term supply-chain pressures.
Partially. The Government’s objectives of promoting market access, investment, and job creation are supported by these deals. Notably:
We recommend Parliament use the following KPIs:
Positively:
Negatively:
Incremental benefit. The trade deals support export-led growth in strategic sectors such as clean tech, medtech and advanced manufacturing, though the short-term macroeconomic impact may be modest.
Positive for SMEs like Paragraf in high-value sectors. Reduced tariffs, improved visa systems and predictable trade rules enhance our ability to scale, partner, and commercialise.
The deals support jobs in high-skill sectors and mobility schemes increase access to international expertise. Consumers may benefit from reduced costs or increased choice through improved import/export flows. However, competition from international firms in liberalised sectors could challenge some UK producers.
Yes, provisionally. The agreements retain UK standards and allow room for domestic enforcement. Paragraf supports strong regulatory alignment, particularly in environmental and labour protections. Any future divergence (especially under pressure from partners) should be resisted to protect the UK’s international scientific and ethical standing.
There is room for improvement. Communication has often been limited to high-level announcements or post-deal summaries. Engagement with SMEs in the deep tech and science sector was limited. For instance, Paragraf and similar companies could have contributed more to discussions around mobility, IP protection and R&D cooperation terms.
We recommend:
Overall, Paragraf sees the three trade agreements as positive steps for the UK’s positioning as a hub for advanced technologies. They help create opportunities for growth, talent attraction and stronger global partnerships. However, the benefits will only be fully realised if implementation is business-friendly, avoids excessive compliance burdens, and balances security concerns with the need for open supply chains.
We urge Parliament to:
With these priorities, the UK can translate trade agreements into tangible growth for high-value industries like semiconductors, ensuring long-term competitiveness in the global economy.
August 2025