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Some UK carmakers and drivers face higher costs under the Brexit trade agreement, with an expert warning little-noticed parts of the deal are a “big loss” for Britain.
'Trade in goods significantly harder under Brexit deal' says EU Goods Sub-Committee report
25/03/2021
The EU Goods Sub-Committee has published its report, Beyond Brexit: trade in goods, examining what the EU-UK Trade and Cooperation Agreement (TCA) means for trade in goods.
David Bailey examines the potential impact of new ‘rules of origin’ requirements for Battery Electric Vehicles (BEV) under the Brexit trade deal, arguing that tariffs on UK-EU BEV trade would be self-defeating when both the UK and the EU are trying to encourage a switch to electric vehicles in order to reach net zero.
Wales' automotive industry faces more challenges over future Brexit trade changes, according to experts. / The Welsh Automotive Forum said new checks on imports and rules over where car parts can come from could add to customs disruption when they are introduced.
Business groups tell ministers to sort out bureaucratic mess caused by EU trade deal.
Barclays PLC is planning to hire 200 new traders in Paris in a fresh blow to the Square Mile in the wake of Brexit.
Bentley’s Chief Executive says a combination of rules of origin mandates and trade uncertainty places the UK’s auto industry in a precarious position.
Britain's car industry risks losing out even if there is a post-Brexit trade deal with the EU, according to documents seen by the BBC.
David Bailey looks at the implications of BMW’s decision to stop producing the electric MINI at its Oxford plant and sets out what the decisions tells us about the UK automotive industry post-Brexit.
Ease of trading is key measure of success, say cross-channel businesses, not lack of lorry traffic.
More than 200 jobs are at risk at a car parts firm in south Wales.
Full customs controls on imports from the EU to Britain will finally begin on New Year's Day after being delayed three times - and business groups can't guarantee it'll all go smoothly.
Britain and the EU are holding negotiations over the issue but Brussels is expected to maintain a hardline until the autumn.
Brexit deal must be changed to stop critical blow to UK car industry, Vauxhall urges Sunak
17/05/2023
Vauxhall bosses warn the UK will be put at a ‘major competitive disadvantage’ without changes to Brexit import rules.
The end of the holiday season heralds the return to centre stage of a number of burning Brexit-related issues this autumn.
Brexit has killed the British car industry
17/05/2023
The government has no plan to save a vanishing sector.
The price spike comes amid warnings from hauliers that delays at Calais and other French ports are set to deteriorate further.
Brexit Is COLLAPSING [12 mins]
17/05/2023
We were promised sunny uplands and a oven ready deal: instead we've been served extra helpings of cow excrement. As Nigel Farage admits Brexit is a disaster, car manufacturers threaten to walk and Keir Starmer calls for a renegotiation, it's time to accept reality.
Brexit reality 3: Rules of origin
10/03/2021
Jason Croke tackles some technical aspects that are continuing to confuse businesses who are importing goods from the EU, in this case import duty and the rules of origin.
120,000 exporters need to prove source of goods going to EU. / Carmakers face existential threat without rules of origin deal.
“This shows how the post-Brexit increase in custom costs to UK consumers is really biting," a senior manager at an accountancy firm has said.
Ford has admitted the UK’s departure from the EU has not helped the production of its electric E-Transit Custom. / Hans Schep, general manager Ford Pro Europe, said: “Brexit is not making our life easier.”
Brexit tariffs could close UK car factories
04/08/2023
One of the world’s biggest carmakers has warned it may be forced to close its UK factories if the government can’t renegotiate part of the Brexit deal with the EU.
New Brexit tariffs on electric car parts threaten the future of Vauxhall’s huge factory in Luton, the plant’s director has warned.
An additional £600m in costs hit British importers since Brexit came into force, taxes which were not required when Britain was in EU's single market.
Brexit troubles aren’t all teething problems
20/01/2021
For anyone who thought Brexit was done in 2020, the early signs are that it will, once virus woes settle, become Boris Johnson’s biggest headache. Again.
Former Siemens chief Juergen Maier says disruption will last at least six months even if trade deal is reached
Brexit threatens to leave a £5.25 billion “black hole” in ecommerce sales as tensions between Brussels and London escalate dramatically.
Those expecting the deal meant trade could carry on in the same friction-free, tariff-free manner as before were in for something of a shock on 1 January 2021 when shipments were stuck at borders due to incorrect paperwork.
Brexit, One Month After
10/02/2021
The UK’s official departure from the EU took place on January 1, 2021. The Brexit roll-out, not unexpectedly, has been awash with problems.
Because of rules of origin, even if the UK enters into a trade agreement with the EU, UK manufacturers embedded in pan-European supply chains are going to face new bureaucracy and costs, with long-run implications for their continued viability.
Brexit: No light ahead of the tunnel
13/06/2020
On 7 October last year, there was a defining phone call between Boris Johnson and Angel Merkel.
Brexit’s flat battery
02/02/2023
The unsurprising collapse of Britishvolt, and the total lack of strategy or investment in batteries, will be the final nail in the coffin for the car industry.
“Car crash!” exclaimed managing director Andrew Varga, whose Brexit progress I have been following since the referendum. News of the latest Brexit U-turn landed on him on Tuesday out of the blue. All his years of preparation for a new UK product safety mark, all his thousands of pounds wasted, all the uncountable hours and effort were rendered pointless, at a stroke.
Canada said no trade talks are in progress - despite Business Secretary Kemi Badenoch "explicitly" telling MPs discussions "have not broken down".
One of the world's largest carmakers has said it will be unable to keep their commitment to make electric vehicles in the UK without changes to the Brexit deal.
British car factories will be forced to close with the loss of thousands of jobs if the UK government does not renegotiate its Brexit deal immediately, automaker Stellantis has warned.
Voters promised a Brexit boon will consider bid to keep Nissan and Toyota as ‘ridiculous’, prime minister warned.
CPTPP will not make up for Brexit
16/04/2023
The UK’S membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership offers little gain for the British economy.
The Customs Union is the first Regional Integration milestone and critical foundation of the East African Community (EAC), which has been in force since 2005, as defined in Article 75 of the Treaty for the Establishment of the East African Community.
Rules of origin force an increasing percentage of the value of an EV to be sourced from the UK or EU.
Rules of origin force an increasing percentage of the value of an EV to be sourced from the UK or EU.
The timetable for the major new controls that have already been imposed and those that have been delayed
Electric vehicles moving between the UK and the EU face a 10 per cent tariff once a grace period expires in 2027.
Electric car prices set to rise by 10% from 2024: Brexit trade tariff to make them more expensive and delay price parity with petrols and diesels
13/12/2022
Many electric vehicles made and sold in the UK and Europe are set to become more expensive from 2024, which will delay price parity with petrol and diesel cars, it has emerged.
Manufacturers warn of ‘devastating price war’ on consumers if tariffs are enforced in 2024.
European car makers are calling for a three-year delay in post-Brexit trade rules around electric cars – warning of both a loss of production and a potential €4.3 billion (£3.7 billion) tariff hit.
Post-Brexit rules forcing European automakers to source more electric vehicle components from Britain or the EU could cost them up to 4.3 billion euros ($4.7 billion) in tariffs and hit output, a leading industry body said on Tuesday.
For some weeks the British government has been planning a “shock and awe” campaign to warn British businesses that they have less than six months to prepare for Brexit; but the EU has beaten them to it.
‘We goofed it up, you have to fix it’, Ursula von der Leyen tells young people. / European Commission president Ursula von der Leyen has said young Britons could still reverse Brexit by deciding to re-join the EU in the years ahead.
The European Union is about to formally reject a UK plea for special allowances for exports of electric cars in a post-Brexit trade deal.
EVs being exported from the EU to the UK will still have tariffs on them from next year as a result of Brexit, despite a plea to defer the trade rule.
Ham sandwiches confiscated, Percy Pigs exiled, and the threat of rotten fish in Westminster are some of the problems plaguing the UK.
Fashion Roundtable, the secretariat for the All Party Parliamentary Group (APPG) for Textiles and Fashion, has put forward 11 recommendations to help mitigate Brexit's impact on the UK fashion and textile industry.
The long term future of a major vehicle plant and 1,500 jobs could be put in jeopardy if part of the Brexit treaty is not renegotiated, its plant director has warned.
Britain should continue following EU car regulations to avoid extra costs for consumers, says the boss of Ford. / Tim Slatter's comments come as car manufacturers prepare for the first major review of Britain's post-Brexit trade deal with the EU.
Two years since Britain left the EU, Brexit is still very much at the top of the news agenda with lorry queues lengthening at Dover as exporting firms struggle with red tape.
Gocycle, the award-winning e-bike brand founded by ex-Formula 1 engineer Richard Thorpe, is setting up a subsidiary in the Netherlands after the Brexit deal signed on Christmas Eve provided “certainty” about the future trading relationship between the UK and EU.
Government messaging in the build-up to Brexit failed traders over the extent of changes brought about by rules of origin requirements for trading with the EU.
PSA Part’s Sales Director, Nick Walsh looks at how Brexit is impacting cross European border trade for the tech channel and how companies can look to address these challenges.
Jaguar Land Rover joins Vauxhall maker Stellantis in criticising Brexit deal, piling pressure on Government
17/05/2023
The current Brexit deal is “unrealistic and counterproductive” for electric car manufacturing and needs to be changed, Jaguar Land Rover (JLR) has warned.
Britain could be pressured into bad deal to replace EU's agreement with East Asian country.
Manufacturing after Brexit - UKICE
26/01/2022
Just over a year since the UK left the single market and customs union, and
despite the impact of the pandemic, which makes this kind of analysis all the
trickier, we can begin to analyse the impact that Brexit has had on the UK
economy. These impacts will vary significantly by sector and also by region.
In this report, the authors investigate what they might be in the area of
manufacturing.
Brussels’ former Brexit chief urges collaboration on shared challenges and reflects on tumultuous talks.
EU chief negotiator responds to PM’s claim that UK will now be free from Brussels regulations.
There remain "substantial barriers" for UK trade with Europe, with small businesses bearing the brunt of the post-Brexit strain, according to peers.
Future of Vauxhall’s Luton plant in doubt over tariffs.
The tariffs on over half of products have changed, but the weighted average tariff on goods imported from ‘MFN’ countries has fallen only from 2.1% to 1.5% (excluding non ad-valorem tariffs). Given that any difference between the UK and EU tariffs may create administrative problems ... there is room to ask whether this has been a net gain.
UK firms face ‘significant barriers’ to doing business with EU and have less access than Canadian companies, in some cases.
Experts have warned that there is an "existential threat to the UK car industry" as manufacturers consider pulling out of the country.
Sweets are among retailer’s products affected by ‘rules of origin’ regulations.
EU said agreement on common rules ‘on the table’ - but UK would probably have to drop prized right to diverge
More than a month after the UK's post-Brexit trade deal with the EU came into force, complaints from British importers and exporters continue to mount.
UK manufacturers could be hit with 10% tariffs from next year unless they can source electric vehicle parts and batteries locally.
Experts are urging the Government to delay “Rules of Origin” certification rules to avoid prices rises and supply shortages.
“Will he (Gove) make clear that the Protocol is causing societal and economic damage to the union, and will he press on with the alternative arrangements that he previously supported and signed up to?”
The UK is accused of being ‘asleep at the wheel’ when it comes to industrial policy around new electric car and battery tech.
"Rules of origin are the complex requirements that determine whether or not a product is produced ‘locally’ in the UK or the EU – its economic nationality. If it is not deemed to be sufficiently British, it may not qualify for these preferential tariff rates"
Rules determining the country of origin of traded goods for the purpose of implementing the terms of a trade agreement re tariffs, quotas and remedies.
Putting politics aside, let us look at a more technical aspect of free trade negotiations – rules of origin (ROO).
Stellantis has warned it won’t be able to keep its commitment to building electric vehicles in the UK without changes to the Brexit deal.
Carmaking giant urges UK government to renegotiate rules to avoid expensive tariffs.
The future of electric vehicle production in the UK is under threat unless the Government reworks the Brexit deal, Vauxhall parent Stellantis has warned.
French car giant says it cannot follow parts sourcing rules, introduced through Brexit, which add hefty tariffs. / Stellantis has urged the UK government to renegotiate part of its Brexit deal with the EU so it can avoid vehicle factory closures, which would result in the loss of thousands of jobs.
Stellantis warned post-Brexit trading arrangements risk its operations in the country. / “If the cost of EV manufacturing in the U.K. becomes uncompetitive and unsustainable, operations will close,” it said. / Rules of Origin requirements on batteries and EVs are due to be scaled up in coming years, with automakers facing 10% export tariffs.
Rishi Sunak’s government is understood to be lobbying the EU to delay a change in manufacturing rules in the Brexit trade deal after Vauxhall’s parent company warned it could shut its UK factories.
Three-quarters of NE bosses say Brexit is bad news for their businesses - with many suffering falling sales and rising red tape.
Many UK exports won’t qualify for preferential terms.
Two weeks into Brexit, problems are mounting and recriminations are flying in all directions. The reality of Brexit is proving every bit as toxic as the four-and-a-half-year slog that got us to this point.
But the UK’s departure means far-reaching changes for the Irish economy. We are already seeing signs of how things may shake out and the really fundamental changes it means for many businesses, for consumers and for trade.
The cost of Brexit becomes apparent
13/01/2021
Filling the GDP gap it has created will be hard.
Developments in sugar exports of African, Caribbean and Pacific countries. / The United Kingdom (UK), the main European importer of sugar from ACP countries, decided to leave the EU in March 2019. How will Brexit affect the ACP countries, given the already ongoing changes in the EU sugar market?
The key to net zero? UK-EU cooperation
01/03/2024
With finances tight and growth sluggish, closer alignment would bring mutual benefit.
"...rules of origin are how customs authorities classify where an exported product has originated. The rate of duty that importers are required to pay when bringing goods into a country depends on three elements – the type of goods (which is classified by a ‘tariff code’), the country the goods are being imported into, and where they are judged to have ‘originated’ from – i.e. the origin."
Richard Barfield explains the deluge of restrictions and regulations that have been saddled on firms after the UK’s departure from the EU
The EU Goods Sub-Committee publishes its report on what the EU-UK Trade and Cooperation Agreement (TCA) means for trade in goods.
Trade will be ‘day-to day struggle’ after Brexit is completed, MPs told in grim industry forecast
30/09/2020
Inquiry hears of massive extra costs, a mountain of red tape, shrinking investment and chemicals ‘disappearing’ from UK market.
"Around half of the fiscal hole, and the political instability that comes with that, is down to Brexit," John Springford of the Centre for European Reform.
UK businesses and consumers have paid 42% more in customs duties on goods since Brexit came into force on January 1 2021, it has been claimed.
Shadow International Trade Secretary Nick Thomas-Symonds has written to Business and Trade Secretary Kemi Badenoch urging her to reach an agreement with Brussels. / Time is running out to strike a deal with Brussels over post-Brexit rules which could hamper British car exports, Labour warns today.
UK car industry is facing ‘existential crisis’ as argument over EV Brexit deal rumbles on
19/05/2023
Expert warns of ‘existential crisis for UK car industry. / Government insists EV problems ‘can be resolved within’ Brexit deal. / From next year, 45 per cent of an EV’s value should originate in the UK or EU to qualify for tariff-free trade.
UK car industry posts worst production figures since 1954 as Brexit and coronavirus take their toll
30/07/2020
Even if there is no second wave of coronavirus to shut down factories once again, British car production in 2020 will only recover to about a half of last year’s figure, says industry body.
Even if Brexit deal is reached, decision means vehicles without enough British components will attract tariffs.
Brexit deal means from 2024 batteries not containing 50% local materials face EU tariffs.
UK companies face Brexit import controls
03/01/2022
British firms face the introduction of much-delayed post-Brexit border control checks from 1 January which will affect businesses importing $314 billion of goods a year from the European Union.
'Yet a no deal outcome would still have profound implications for the uK. as we analyse in what follows, from trade to connectivity to foreign policy to cooperation in policing, a failure to strike an agreement with the eu will impact on us in numerous ways.'
UK in talks with EU over softening Brexit trade rules after Vauxhall carmaker Stellantis warns of job losses
17/05/2023
Brussels unwilling to reopen the Brexit deal negotiated by Boris Johnson, but could consider ‘technical’ changes, i understands.
Rishi Sunak’s government is lobbying the EU to delay a change in manufacturing rules in the Brexit trade deal after the owner of Vauxhall warned it could shut its UK factories.
UK taxes on EU imports have increased hugely since the former’s official exit from the Union at the end of 2020.
Ministers were warned of the dangers of the EU trade deadline two years ago. Now, up to 200,000 jobs and £11bn worth of UK car exports could be in jeopardy.
Stellantis, which also owns Citroen, Peugeot and Fiat and employs more than 5,000 people in the UK, says its UK investments were in the balance due to terms of Brexit trade deal.
Stellantis warns UK government that the fledging electric vehicle industry is being jeopardised by a new 10% tariff.
Vauxhall carmaker Stellantis warns of ‘significant job losses’ if Brexit deal is not amended
17/05/2023
Stellantis has committed to making electric vehicles in the UK but it is no longer able to meet Brexit trade rules on where parts are sourced.
New post-Brexit border paperwork coming into force in July is expected to cost UK food companies millions of pounds, according to a trade body.
Where are all those Brexit benefits?
20/05/2023
Project Fear has become Project Reality—just look at Britain’s car industry.
Dairy shipments collapse by as much as 96 per cent. Experts say extra red tape and delays are to blame.
If you only trade within the UK and Europe, Rules of Origin will not have concerned you. Brexit could make these Rules become a serious concern to you.
Brexit has led to a “worrying” decline in international exports by Tayside firms, it has been claimed.
‘Rule of Origin’ Brexit rule starts to bite: UK customs duties jump 64 per cent in a year to record £4.5bn
22/02/2022
Customs duties paid by UK businesses have jumped 64 per cent to a record £4.5bn in the year to 31 January 2022, up from £2.9bn in the previous 12 months, according to new research shared with City A.M. this afternoon.
Businesses are reporting increased disruption and additional costs as they attempt to trade with the EU – and it could mean the price of a bottle of wine goes up.
‘Waste of everyone’s time’: New government video sets out Brexit paperwork mountain [4 mins]
19/07/2022
Guide makes mockery of Boris Johnson’s 2020 claim that UK and EU would ‘do even more business’.
“Mountains” of second-hand clothing are piling up in the north-east of England after new Brexit complications have forced one of the UK’s biggest exporters of second-hand clothing to halt exports after falling foul of the new ‘rules of origin’ requirements, it is being reported.
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