Airbus warns about no-deal Brexit
Indeed, by now we know for certain that there will be gridlock at UK ports after Brexit. Yet as we speak, goods are flowing smoothly to and from non-EU countries through container ports like Felixstowe and Southampton, and airports like Heathrow (including perishables), with no obvious gridlock. Something does not compute.
Last edited by OldLurker; 22nd Jun 2018 at 09:28. Reason: typo
Join Date: Oct 2003
Location: n/a
Posts: 1,425
Likes: 0
Received 0 Likes
on
0 Posts
If you are looking at the short term then you can forget about setting up a new factory and associated infrastructure, training staff and organising supply chains.
Brexit would be long sorted and over any chaotic term well before any of this could be set up elsewhere.
Brexit would be long sorted and over any chaotic term well before any of this could be set up elsewhere.
Join Date: Apr 2010
Location: London
Posts: 7,072
Likes: 0
Received 0 Likes
on
0 Posts
Went round the Oxford Mini factory last month - they have rows of trucks outside every morning doing JIT deliveries ... clearly they are worried s******* ... but as they pointed out they have a "second facility" in the Netherlands
Indeed, by now we know for certain that there will be gridlock at UK ports after Brexit. Yet as we speak, goods are flowing smoothly to and from non-EU countries through container ports like Felixstowe and Southampton, and airports like Heathrow (including perishables), with no obvious gridlock. Something does not compute.
The solution, therefore, is simple. The EU must act to ensure that the post Brexit paperwork is seamless so the supply chain is not interrupted.
Join Date: Apr 2010
Location: London
Posts: 7,072
Likes: 0
Received 0 Likes
on
0 Posts
Indeed, by now we know for certain that there will be gridlock at UK ports after Brexit. Yet as we speak, goods are flowing smoothly to and from non-EU countries through container ports like Felixstowe and Southampton, and airports like Heathrow (including perishables), with no obvious gridlock. Something does not compute.
https://news.sky.com/story/sweden-wa...rexit-11140707
" Sweden's Europe minister has poured cold water on the idea of the UK enjoying "frictionless trade" after Brexit. Ann Linde, who has sat on the Nordic country's frontbench since May 2016, told Sky News: "It's not possible to have frictionless trade if you are not part of the customs union and the single market."
and Customs themselves reckon their "new" system for post Brexit isn't tested or ready partly because no politician can tell them exactly what to plan for
It really is a shambles..................
Join Date: Apr 2010
Location: London
Posts: 7,072
Likes: 0
Received 0 Likes
on
0 Posts
We're the ones who brought this fandango on ................... why should they spend any time or money on it? Would we do the same if things were reversed???
Join Date: Feb 2007
Location: GLASGOW
Posts: 1,289
Likes: 0
Received 0 Likes
on
0 Posts
In the late nineties did a dissertation for my Masters on Scottish economy, grant aid, and company assistance entitled the Aircraft carrier economy. A 'lift an lay policy'. Company looking to locate. Where lie the easiest logistics, where lie the largest grant aid, skilled workforce etc etc. Bottom line, when the fuel runs out, they move, overnight in some cases, to the next carrier. Life is numbers, pure and simple. Scotland HAD a thriving computer/electronics industry. All gone. Along with millions of grant aid. Issue is when it is not coming out of your own pocket, it is very easy to spend millions of public cash, also very easy just to leave it all behind.
I still cannot believe what the UK is actually doing here. Ultimate consequences will be interesting.
I still cannot believe what the UK is actually doing here. Ultimate consequences will be interesting.
Again, easy. The national Governments of France, Germany and Spain will not want Airbus compromised by EU intransigence. They will lobby the EU for an uninterrupted supply chain post Brexit. The EU will need a damned good reason for putting French, German and Spanish workers out of a job.
I see that the usual suspects have already convinved themselves that Airbus is pulling a fast one. There really is no-one so blind as those who refuse to see, it's pathetic.
Using these announcements to justify a remain view and holding a 'we're doomed' view is frankly more pathetic. Brexit is happening and we should all be working to make it as successful as possible. Anyone just sitting back waiting for it to fail so they can say 'I told you so' needs to stand aside as they are no use whatsoever.
Why SHOULD they do anything??
We're the ones who brought this fandango on ................... why should they spend any time or money on it? Would we do the same if things were reversed???
We're the ones who brought this fandango on ................... why should they spend any time or money on it? Would we do the same if things were reversed???
They are a business and if this is a business decision based on cost and in fear of any disruption from Brexit then absolutely they should, and would, work with the UK to try to minimise any potential problems. These are the kinds of issues that need highlighting to force both sides to come to agreements that work. Any business would do so to protect itself and shareholders. Moving elsewhere will not be a cheap or easy process so if staying can be made to work then they will.
I hope the announcement is an attempt to do the above and get some order in place rather than an attempt by Germany & France to punish the UK.
If it is the former then it can only be a good thing and I hope it achieves the required result.
If it is the latter then it only goes to strengthen the Leave case.
Interesting times.
Join Date: Oct 2013
Location: United Kingdom
Posts: 110
Likes: 0
Received 0 Likes
on
0 Posts
Good luck to Airbus in setting up and bringing on stream a new, duplicate, wing building facility elsewhere between now and next March. They cannot transfer equipment or personnel from the existing operation as they need to maintain full production to meet their delivery schedules. As for setting up in the US or China, that seems to be a gamble as they don't know what the tariff situation may be in future (especially the US!). An operation in the EU would see protracted squabbling between France, Germany and Spain over where it was to be located before any work started! You can bet that there will be pressure from Airbus on EU governments to do a deal as they do not want this unnecessary expense, as there will be from companies like Ford whose biggest market in Europe is the UK, but who do not build a single vehicle in the UK.
There will be many large companies in the same position. They have largely kept silent, presumably under pressure from some inside the British government. Land Rover last week chose to move more of its manufacturing to Slovakia (or Slovenia). It will be interesting to see if Airbus have triggered other companies to speak up.
Airbus/BAe (that was) don't give a $hit about their employees, build it cheaper, more profit for the company.
Guest
Posts: n/a
If Sterling is such a strong currency after BREXIT that it makes economic sense to take Airbus business elsewhere, then bring it on I say. Money talks, if sterling goes lower, it would be a brave or stupid politician willing to pay through the nose for an inferior product.
IG
IG
Meanwhile, on the US trade war, Jean-Claude Juncker says "we will do what we have to do to safeguard the EU". Perhaps he might say whether he thinks EU trade with the UK (currently world's 5th largest economy) also needs safeguarding, and if so, what positive action is he taking to do so?
If Sterling is such a strong currency after BREXIT that it makes economic sense to take Airbus business elsewhere, then bring it on I say. Money talks, if sterling goes lower, it would be a brave or stupid politician willing to pay through the nose for an inferior product.
IG
IG
Join Date: Mar 2001
Location: I wouldn't know.
Posts: 4,497
Likes: 0
Received 0 Likes
on
0 Posts
Good luck to Airbus in setting up and bringing on stream a new, duplicate, wing building facility elsewhere between now and next March. They cannot transfer equipment or personnel from the existing operation as they need to maintain full production to meet their delivery schedules. As for setting up in the US or China, that seems to be a gamble as they don't know what the tariff situation may be in future (especially the US!). An operation in the EU would see protracted squabbling between France, Germany and Spain over where it was to be located before any work started! You can bet that there will be pressure from Airbus on EU governments to do a deal as they do not want this unnecessary expense, as there will be from companies like Ford whose biggest market in Europe is the UK, but who do not build a single vehicle in the UK.