LONDON, Dec. 16 (Xinhua) -- Britain and the United States signed a customs agreement on Wednesday to ensure continued smooth trade after the Brexit transition period expires at the end of the year.

The bilateral Customs Assistance Agreement was signed by the Financial Secretary to the Treasury Jesse Norman and U.S. Ambassador Robert Wood Johnson in London, according to a statement on the British Treasury website.

"This is an important agreement that ensures continuity post EU exit," Norman said.

"This deal will allow us to continue to cooperate in combating customs offenses by sharing information and good practice, and provides the legal underpinning for schemes to ease trade flows for importers and exporters," he said.

Johnson said: "Every single day, the U.S. and the UK work side by side to stop criminals trafficking illegal goods across the Atlantic -- from guns to drugs, to illegal wildlife products and even counterfeit medicine."

The deal will also provide the legal basis for the Authorised Economic Operator Mutual Recognition Arrangement, which will ensure that people and businesses will continue to benefit at their respective borders.