Will the US Rejoin the Trans-Pacific Partnership?
The rollercoaster of international trade never ends: in a surprise move, Trump announced that he is considering rejoining the Trans-Pacific Partnership agreement, which he pulled out of in the first days of his presidency. This shift could be due to input from Republican lawmakers, who told Trump that farmers would suffer from protectionist policies since they send much of their output to China and other export markets.
However, he later expressed skepticism about rejoining the agreement via Twitter. This uncertainty is just adding to the concerns over international trade. Businesses operating on an international scale – especially those that rely heavily on imports and exports – should monitor the situation closely as tweets become actual legislation and action.
Despite Brexit, the EU Keeps Options Open for UK
While Theresa May maintains that the UK must exit the single market, Michel Barnier, the EU’s negotiator, has expressed a more open attitude. He said that the UK can change its mind anytime about remaining in the single market until the final stages of its official departure in December 2020.
Barnier’s statement is not necessarily groundbreaking news, but it does leave the door open for concerned industries to put pressure on the government to stay in the customs union – which leads us to our final story…
Driving into the Unknown
Car manufacturers are a group that will be hit particularly hard should the UK make a clean break with the single market. Car sales have dropped in the last year, and between Brexit, uncertainty around diesel and the volatile state of international trade, the industry is concerned. Even Parliament is less than optimistic for the automotive industry, saying that they have ‘no advantages to be gained from Brexit.’
Can carmakers in the UK and EU tailor their products to new markets or adjust their international market expansion strategies? Will industries set to suffer in the face of Brexit have an impact on the final trade decision? Once again, only time will tell.
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.
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