10 UK Export News You Might’ve Missed - Week 31
In this edition of Export News from Expordite, we’ll cover the top 10 UK export news and headlines from week 31 of 2024 — July 29th-August 4th, 2024.
Key News
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Airbus faces UK criminal probe over potential export control breach
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UK food exporters have spent over £200m on vet paperwork since Brexit
General Export News
1. UK Export Finance helps 650 UK businesses to sell overseas
“Hundreds of UK businesses benefited from £8.8 billion in support underwritten by UK Export Finance (UKEF) in the financial year 2023/24.
As the UK government’s export credit agency, UKEF provides loans, guarantees and insurance to help businesses sell their products around the world.
UKEF’s support in the last financial year enabled 650 UK companies to win or deliver export contracts last year – an average of almost two businesses securing crucial export financing every day of the year.
It is estimated that the UKEF-backed activity of these businesses and their suppliers contributes up to £3.3 billion towards UK GDP and supports up to 41,000 FTE jobs. “
Source: GOV.uk
2. TRA defends £22 billion of UK trade
“The TRA highlights its achievements in protecting the UK’s economic interests against unfair international trade practices in new Annual Report and Accounts.
The report, covering the financial year 2023-24, showcases the TRA’s ability to adapt and thrive in the face of a rapidly changing global trade environment. The TRA has seen a significant rise in new trade remedies cases, progressing six new dumping or subsidy investigations – a record high since the UK’s departure from the EU customs union.
As the global trade landscape continues to evolve, the TRA is preparing for a busier future. With a rise in protectionist measures worldwide, increased use of subsidies, and a renewed focus on economic security, the TRA will be critical to defending the UK’s economic interests and keeping trade fair. “
Source: GOV.uk
3. New Government drives forward trade talks to turbocharge economic growth
“Business and Trade Secretary Jonathan Reynolds has announced the Government’s intention to deliver trade talks, starting with the Gulf Cooperation Council, India, Israel, South Korea, Switzerland and Turkey.
The Government is putting economic growth at the heart of everything it does to improve the livelihoods of hardworking British people.
Restarting talks is the first step towards agreeing the high-quality trade deals the UK needs to give businesses access to international markets, boost jobs and deliver that growth.
With exports totalling £855 billion, the UK was the world’s 4th largest exporter in 2022. High-quality British goods and services are admired globally and the Government is committed to using every lever available to help British businesses sell around the world.“
Source: GOV.uk
4. Airbus faces UK criminal probe over potential export control breach
“Airbus (AIR.PA), opens new tab is facing a criminal investigation in Britain into potential violations of export control rules involving several of its British entities, the aerospace group said on Tuesday.
The investigation emerged in footnotes to the company’s half-yearly earnings, which said Airbus was fully cooperating with the probe by Britain’s Revenue and Customs agency (HMRC).
“Airbus is working with all relevant authorities to ensure full remediation of all identified deficiencies,” a spokesperson said in response to a Reuters query about the filing, adding that it was not expected to have a material financial impact.“
Source: Reuters
5. Türkiye, UK set to start trade talks later this year
“Trade Secretary Jonathan Reynolds is set to deliver trade negotiations with international partners, including Türkiye, the Gulf Cooperation Council and India, the U.K. government has said in a statement.
This announcement will kickstart the process of getting negotiators back into the room with counterparts as soon as possible, with the first round of trade talks under the new government expected to take place during the autumn, it added.
The bilateral trade volume between Türkiye and the United Kingdom reached $19.5 billion in 2023.
Türkiye’s exports to the U.K. amounted to $6.9 billion in the first six months of 2024, corresponding to 5.5 percent of the country’s overall export revenues. Imports from the U.K. stood at $3.4 billion in the first half.“
Source: Hurriyet Daily News
6. UK should take into account exporters’ views on its own CBAM – IISD
“The UK should address concerns raised by governments and industries in exporting countries about its own proposed CBAM so that its mechanism is not seen as a form of protectionism. This is according to a study by the International Institute for Sustainable Development (IISD) on the country’s carbon strategy.
The UK government introduced its own standalone emissions trading system (ETS) in 2021. In December 2023, plans were confirmed to introduce its own CBAM from 2027. The government published the latest proposed draft in March this year, with a consultation on this ending in June.
The UK’s Carbon Border Adjustment Mechanism is designed to perform the same functions as the European one and is largely similar to it. However, it has a few differences, the researchers note. For example, the scheme will cover ceramics and glass, but not imported electricity. The UK CBAM will come into effect one year after the European one is fully implemented, in 2027, with no transition period.“
Source: GMK Center
7. UK food exporters have spent over £200m on vet paperwork since Brexit
“The British food industry has spent over £200m on export health certificates since Brexit controls came into force in January 2021.
The government’s Animal & Plant Health Agency has issued more than one million certificates since the European Union introduced new border requirements on UK exports.
Each veterinary-issued certificate needed to send some food goods, like meat and dairy, to the EU can cost up to £200, which means the industry has spent approximately £205m on EHCs alone from December 2020 to June 2024.“
Source: The Grocer
8. Expand Five Eyes intelligence alliance to support UK supply chains and counter Beijing, urges think tank
“The UK and its allies need to diversify their rare earth element imports away from China to counter Beijing’s “exploitation” of its market dominance, according to a new report.
The Henry Jackson Society, a right-wing foreign policy think tank with ties to the Republican Party, has warned of China’s dominance of rare earth materials and called for the Five Eyes intelligence alliance to become more involved in matters of trade.“
Source The Chartered Institute of Export & International Trade
9. UK drops out of top 10 manufacturing nations for first time, sparking calls for new strategy
“According to the latest analysis by Make UK, the UK’s manufacturing sector has dropped to 12th place in global rankings, in news described by the organisation as “deeply disappointing”.
The annual report examines various metrics, including exports, R&D investment, and salary levels within the sector.
The US remains the top export market for UK goods, valued at £61.8 billion, up from £56.7 billion last year.
However, Make UK’s report indicates that six of the top 10 export markets are in the EU, with Germany being the second-largest market (£33 billion), followed by the Netherlands (£31 billion) and Ireland (£28.2 billion). This, the organisation says, demonstrates the ongoing importance of trade with the EU and the need for the new Government to address trade barriers with its largest export market.”
Source: DPA Magazine
10. Georgian wine exports to UK leap 28%
“Georgian wine exports to the UK market have risen in both volumes and value over the past year.
According to figures from the National Wine Agency of Georgia, H1 2024 exports to the UK rose 28% in volumes and 17% in value compared to the same period last year.
In the first six months of 2024 Georgia exported 54.5 million litres of wine, worth USD156.7 million, to 61 countries, figures showed.“
Source: Drinks Retailing News
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