PPRuNe Forums - View Single Post - BREXIT
Thread: BREXIT
View Single Post
Old 16th Dec 2019, 05:33
  #3962 (permalink)  
Join Date: Apr 2012
Location: Italy
Age: 30
Posts: 172
Originally Posted by B Fraser View Post
That rather depends on a number of things.
  • Who has the balance of trade
  • Who has the real ability to undercut the other party through reductions in tariffs
  • Who can deregulate more quickly, driving the movement in trade in the finance, insurance and banking sectors.
  • Who can be agile when negotiating deals with new partners such as APAC, MEA and LATAM.
It's going to be quite a year.
Trade balance: keep in mind EU exports to the UK are 3% of GDP, UK exports to EU are 15% of GDP.

Tariffs are on import, not export. So for something the UK is buying, not producing. The only way to significantly undercut the EU tariffs is to set them to zero. Are you sure you want to have no tariffs on USA and China imports? Are you sure they'll be interested in your exports given their goods generally have lower prices? Good luck with that.

Finance, etc, already are a big part of your economy. I doubt you'll be able to get a significant increase in this field, but I'm not an expert. Last time I've heard something about this they were saying that STABILITY is the most important factor for finance and insurance companies...

Emerging markets: the EU already have trading deals with this countries, you'll have to make new agreements and appear more competitive than the EU. See point #2.

One last thing. All this fancy words like "efficiency", "productivity", "flexibility" are generally not a good thing for workers. Be careful in the future, because I fear someone will asking more "fancy words" soon after leaving the EU.
bulldog89 is offline