Post-Brexit: Brazil-UK Working Group seeks advances in agreements and trade relations

On September 2nd, CNI (the national confederation of industry) launched the Brazil-United Kingdom Working Group. The private sector in Brazil identifies challenges and opportunities in the British market due to Brexit that demand efforts from companies and governments.

Two points are considered priorities for the national industry: formalizing an Agreement to Avoid Double Taxation (ADT) and the formal start of negotiations for a free trade agreement between Mercosur and the United Kingdom.

“Even at such a complex time for the global economy, Brazilian exports to the United Kingdom grew 33% in the first half of 2021 compared to the same period in 2020”, pointed out the CNI industrial development superintendent, João Emilio Gonçalves.

Below is a history of cargo movement between Brazil and the United Kingdom since January 2019. Data are from DataLiner:

Cargo Movement between Brazil and the UK | Jan 2019 to July 2021 | TEU

Source: DataLiner (To request a DataLiner demo, click here)

For the growth trend to continue, it was suggested that the group implement possible short-term actions and work on more complex, medium, and long-term goals.

In the general panorama of the trade balance between Brazil and the United Kingdom, the commercial relationship between the two countries underwent a sharp drop. From 2011 to 2020, there was a reduction of 31% in imports and 51% in exports. Considering only industrialized products, levels are stable at 31% and 44%, respectively.

Source: Comex do Brasil

To read the full original article, visit the link: https://www.comexdobrasil.com/pos-brexit-grupo-de-trabalho-brasil-reino-unido-busca-avancos-em-acordos-e-nas-relacoes-comerciais/

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