Due to a recent announcement, @DavidHenigUK, @mrjamesob and others have warned about eroding trust prior to the Brexit negotiations.
But why IS trust so important to a trade negotiation?
I try to accessibly explain 👇
1/
The decision to give something you don't want to (defensive interest) or agree not to push for something you want (offensive interest) lies with seniors or other agencies.
/2
First, because they are your best envoys to their decision makers.
You are going to claim certain things are absolute red lines. If their negotiators think you're lying, that's the advice the'll give their decision makers.
/3
That requires a deep knowledge of the other sides system, regulations and legal/governance culture.
4/
Also, they are the ones who will have to fight for any agreed language with their regulators/agencies.
5/
There are going to be certain elements in the negotiations where finding a legally binding middle ground is just impossible.
Best-endeavour type language can be a way to still incorporate these elements. However...
6/
To make it, they have to believe (and convince others) you are serious and will actually make every effort. Otherwise, they'll hold out for legally binding text.
7/
If you lose their trust, you lose your most critical advocate behind 'enemy' lines.
8/Thread