In the News – The Galvin Round Up
The UK government begins preparing for a no-deal Brexit, China’s toy manufacturing firms eye overseas expansion, and Walmart’s international growth hits obstacles – find out more with your international perspective on some recent headlines.
EU Custom Checks Will be Simplified in the Event of No-Deal
The government has announced that lorries disembarking from ferries and Channel Tunnel trains will not initially be required to make customs declarations if a no-deal Brexit goes ahead, in an attempt to avoid delays at ports.
New guidance released by the government states that for a temporary period of one year following a potential no-deal Brexit, goods will be waved through rather than face long queues for checks. Importers and hauliers will simply have to file a basic form online in advance, and pay duty owed at a later date. The move comes after importers suggested that they would face huge delays and administrative chaos if a no-deal Brexit went ahead with no measures in place.
Chinese Toy Manufacturers Move Overseas to Avoid Trade War Fallout
China’s reputation as a global hub for toy manufacturers may be under threat, as an ever greater number of firms relocate to avoid rising costs and the impact of the US-China trade war.
Despite a brief climbdown at the end of 2018, President Trump is still threatening to impose tariffs of 25% on Chinese goods, leading to speculation that buyers will opt for manufacturers outside of China. China currently produces 80% of the world’s toy products, but rents in Vietnam have spiked as an increasing number of firms plan to move or diversify their operations to the country.
Recent talks to resolve the trade dispute between China and the US did not lead to results, and the countries are likely to return to trading retaliatory measures when their 90-day truce ends on March 1st.
Walmart’s Overseas Expansion Plans Face Obstacles
Despite seeing initial success from its international arm, the US retail giant Walmart has run into obstacles with its plans for further global expansion. A proposed merger of the Walmart owned Asda with Sainsbury’s fell foul of competition concerns, while the chain’s Indian investment, Flipkart, has run into new regulations that penalise e-commerce companies with overseas investors.
The two situations demonstrate the type of obstacles than can spring up when companies are expanding into overseas markets, and could hurt Walmart in its expansion rivalry with Amazon.
The Galvin News Round-Up
Do you ever wonder how the latest headlines could affect your business? Galvin International’s round-up of current events will give you the international perspective you’re looking for.
Our exclusive newsletter highlights the most important and intriguing news of the week, providing analysis and insight on everything from economics to employment trends. To stay in the loop about business overseas, – and don’t miss the stories that could shape your company.