{"id":45035,"date":"2016-11-09T18:16:58","date_gmt":"2016-11-09T18:16:58","guid":{"rendered":"http:\/\/sticky-highjinx.flywheelsites.com\/?p=45035"},"modified":"2025-03-04T04:55:25","modified_gmt":"2025-03-04T09:55:25","slug":"brexit","status":"publish","type":"post","link":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2016\/11\/09\/brexit\/","title":{"rendered":"Brexit: The Good, The Bad and The Ugly"},"content":{"rendered":"Reading Time: <\/span> 4<\/span> minutes<\/span><\/span>\n

It\u2019s another busy day for supply chain and logistics professionals in the U.K. as they spend most of their days taking calls from clients inquiring about the potential impacts of Brexit.<\/p>\n\n\n\n

Will it impact freight costs? Will it impact transit times? Do I need to overhaul my distribution network?<\/em><\/p>\n\n\n\n

The answer is YES to all of the questions. But not immediately. As of right now, the terms of the Brexit schedule, now outlined, The Target, is to accomplish the exit by March 2019.  <\/p>\n\n\n\n

The voluntary decision made by the U.K. to leave the European Union (EU) will mean both positives and negatives for the U.K. and U.S., especially for supply chain and logistics organisations. Although the effects of timing from the event are still yet to be determined, there is one thing everyone can count on a ripple effect that will cause some serious shifts in shipping arrivals and departures. Economists are already anticipating several years of uncertainty for financial markets and economic indicators.<\/p>\n\n\n\n

What Brexit means for UK shipping<\/strong><\/h2>\n\n\n\n

U.K. businesses would no longer benefit from the EU internal trade access without a bilateral agreement between the U.K. and the EU. Although it is possible to be a member of the European Economic Area (EEA) as an associate state of the EU, it is not clear whether the U.K. would seek to do this or seek to enter into an entirely new free trade or association agreement with the EU. Operating within the EU market may become increasingly complex and consequently potentially more expensive for U.K. operators, as might operating in the U.K. market for the EU operators. Those operating in the U.K. and also in the rest of the EU would face the burden of having to comply with both the EU and U.K. laws on trade, rather than complying with the current harmonized EU system.<\/p>\n\n\n\n

U.K. businesses would also not be able to benefit from the network of the EU bilateral and multilateral external trade agreements with other countries, as the U.K. would have to negotiate its own individual trade agreements with those countries. The U.K. would continue to benefit from World Trade Organization agreements, but these would not cover the detailed preferential bilateral arrangements that exist in current EU agreements with other countries. Exporting U.K. goods and services would become a more complex process than at present and, during the U.K.\u2019s negotiations for its own individual trade treaties as a non-EU state, there would likely be uncertainty, possibly for a lengthy period.<\/p>\n\n\n\n

U.K. short-term impacts<\/strong><\/h2>\n\n\n\n