UK Takes a Step Back on Border Checks with EU over COVID-19... Attention on Negotiation Outcome
[Asia Economy Reporter Jeong Hyunjin] The UK government has stepped back from its plan to strictly enforce inspection procedures at the border starting January next year, when the transition period with the European Union (EU) ends. This decision was made to avoid causing greater disruption due to Brexit amid the difficulties faced by domestic companies because of the novel coronavirus disease (COVID-19). The UK and the EU have agreed to focus on trade negotiations, including talks between their leaders, to break the deadlock in negotiations.
According to major foreign media such as Bloomberg on the 11th (local time), Michael Gove, the UK Chancellor of the Duchy of Lancaster, stated that the impact of COVID-19 on businesses is greater than expected. The UK government is expected to conduct temporary and simplified inspections at some ports, such as Dover, where EU goods enter the UK, instead of full inspections.
However, the UK government anticipates that products moving from the UK to EU member states such as France will have to undergo full inspections. A UK government official said, "We recognize the damage COVID-19 has caused to the UK industry," adding, "Since we will have control over our laws and borders after the end of this year, we will adopt a practical and flexible approach."
Earlier, the UK government had announced in February, immediately after the Brexit decision, that all goods coming from the EU to the UK would undergo thorough inspections. However, as the COVID-19 situation worsened and especially with forecasts that the UK's economic growth rate could decline by more than 10%, the urgency for economic recovery led to this revised decision.
Despite the spread of COVID-19, the UK has decided not to extend the deadline for future relationship negotiations with the EU. Although the decision on whether to extend the deadline must be made by the end of this month, the likelihood is very low, and both sides have begun to express the intention to proceed with negotiations quickly. This is because if the transition period ends with a no-deal scenario, both sides are expected to suffer significant economic damage.
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Accordingly, a UK government spokesperson announced that Prime Minister Boris Johnson agreed to the plan for intensive negotiations between the UK and the EU. Negotiations are planned to be held weekly from the 29th of this month to the 31st of next month to conclude by the end of next month. Additionally, Prime Minister Johnson is scheduled to have phone calls on the 15th with Ursula von der Leyen, President of the European Commission, Charles Michel, President of the European Council, and David Sassoli, President of the European Parliament. Attention is focused on whether these talks will break the deadlock in trade negotiations between the two sides.
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