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Very important report from @UKandEU today on manufacturing and Brexit. Goods exports to EU and closely related countries (e.g. Turkey, Switzerland, Norway) is 52% of our total. No trade-deal will mean tariffs and extra regulatory costs - ukandeu.ac.uk/wp-content/upl…
The lengthy regulatory alignment section shows the additional costs the UK will face from the government's demands for 'independence' in this area - additional costs in automotive, aerospace, pharma, chemicals which will render some production uneconomic (see example below)
Can new trade deals make up for lost manufacturing sales to the EU? Unlikely. It isn't likely to be economic in many cases to just make in the UK for global and UK sales. We're already losing Honda, who exported many cars to the US.
How bad can the picture get for manufacturing in the UK? Well, consider the case of Australia, which no longer has any car manufacturing. Just not economic, shrinkage exacerbated supply chain issues. autocar.co.uk/car-news/indus…
So read this report on manufacturing and Brexit. Then consider why so many of us annoying experts are saying the UK doesn't know what it wants from trade deals. Because what are we trying to achieve in manufacturing? We simply don't know... /end ukandeu.ac.uk/wp-content/upl…
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