EU and British leaders quarrel over telephone talks in free trade agreement negotiations

EU and British leaders quarrel over free trade agreement negotiations October 15 7:14

The EU-European Union and the leaders of the UK who have left the EU have talked over the phone over the negotiations such as the difficult free trade agreement, just before the deadline set by the UK, and the EU side has indicated its intention to continue the negotiations. In response, the British side expressed its desire to determine the EU's response.

After Britain left the EU in January, both sides have entered a transition period to avoid rapid changes and are continuing negotiations on free trade agreements and the like.

Britain's Prime Minister Johnson has set a deadline of 15th this month, saying that negotiations cannot be continued indefinitely, but the gap between positions over fishing rights and other issues has not been closed.

On the 14th, when the deadline was approaching, Prime Minister Johnson and EU Chairman Von der Leyen met on the phone to resolve the situation.

After the meeting, Chairman Von der Leyen posted on his Twitter account, reiterating that the agreement is important but not an easy compromise, and said he intends to continue negotiations.

Meanwhile, according to the British side, Prime Minister Johnson is disappointed that negotiations have not progressed and wants to determine the EU's response at the EU summit scheduled from the 15th. I told you.

There is a last-minute quarrel over whether we can reach an agreement so that there will be no confusion at the end of the transition period until the end of the year.

The local automobile industry is impatient

Local companies are rushing to the situation where negotiations between the UK and the EU are not finalized even after two and a half months until the end of the transition period.

If the transition period ends without a free trade agreement, there will be unprecedented tariffs on trade between the UK and the EU starting next year.

The automobile industry is said to be particularly hit.

In the UK, major companies such as Nissan, Toyota and Honda produce cars, but selling passenger cars made in the UK in the EU is subject to a 10% tariff.

Industry groups have complained that if tariffs occur, there are concerns about a drop in demand due to price increases, and the loss of the UK automobile industry will amount to about 6.5 trillion yen over the next five years.

On top of that, the automobile industry, including Japanese manufacturers, is asking the British government to provide some form of support for the amount equivalent to tariffs in the event of tariffs.

Mike Hoes, chairman of the British Automobile Manufacturers Association, which is a member of Japanese manufacturers, said, "The British automobile industry has stopped production and business due to the influence of the new coronavirus, so there was no sales for two and a half months. If it is not agreed, the blow will be doubled and it will be a very difficult situation. "