Reminds me of the covid toilet roll panic, everyone is trying to stock up before Brexit and ports are overwhelmed

Just put in a long pondered order to Arc It looks as though B S J is going to be driving more custom to China.

jes

So much for "friction free trade after Brexit"….

Thanks for the informative post, Ketan

Disappointing to see the discussion descend so quickly into “Politics”

MichaelG.

That's correct Dave, UK traders will be at a disadvantage when compared to Chinese traders. I do not know how they manage to deliver at such low postage rates, but then I suppose not all countries post and customs work the same, over here for example, for imports from the US and non EU countries (excluding China) I am required to produce the invoice and proof of payment. Only when I pay the customs duty and taxes will the order be released. For Chinese orders this is inexistent.

I have one question for Ketan, if I were to have an order delivered to a UK address (such as a groupage hub as I mentioned before) would that be considered as a local purchase and consequently charged VAT?

Far more difficult than that. Voting to leave the EU was voting for a Border with all that entails for the future. Checks on people and goods on both sides. Tariffs, paperwork, delays, disputes… For example, British Subjects visiting France will now join the 'Rest of the World' queue for full checks: passport, visa, credit, reason for and duration of visit, insurance, driving licences, and return ticket etc. Roughly 20 minutes rather than 2, worse if there's a queue. Plus new restrictions on anyone wishing to live, study or work in the EU.

Ironically for anyone who voted 'Leave' in hope of reducing immigration, our government has decided to wave everyone through on the UK side of the border! The hope is imported food won't rot whilst Czech lorry drivers have their right to enter checked and their cargo and paperwork is inspected to ensure the new tax and tariff arrangements are being followed. Not checking incomers at a border is a very odd way of 'taking back control'.

Ketan's post is an insight on the impact of a Border on exports. Pro-Leave politicians told us the EU valued UK trade so highly that an advantageous Trade Deal would be struck, including free movement of goods. Three years later a hard exit looks likely. Shouldn't be a surprise because the EU's position has always been core benefits are only available to member states. When dealing with outsiders, EU interests come first.

Although the EU is the UKs largest trading partner, it's but one of several trade blocks with whom new deals are needed. Of these, much was made of the benefits of increased trade with the US, but President Trump had other priorities during the presidential election. Not clear how President Biden will progress a US/UK Trade Deal given his negative views on Brexit's impact on Irish politics. Don't be surprised if the US uses trade negotiations to influence what happens in Ireland – there's always tension between trade and sovereignty.

International trade deals are horribly complicated. Failing to get one means nations default to World Trade Organisation terms which are the most expensive and bureaucratic. Not the end of the world, but best avoided if at all possible. Brexit is going to make exporting from the UK to several trade bloc's difficult until Trade Deals are struck: rather than a 1 or 2% growth next year, the UK economy is expected to shrink by 2 to 5%.

Interesting times ahead. My leave friends are all convinced the future wonderful; unfortunately none of them can explain how leaving the EU is going to work in practice. Government Advice isn't clear either. Businesses are to: Check, Change, Go. Unfortunately with 22 days to go, government advice to a businessmen like Ketan is:

If you sell manufactured goods

There may be new rules you need to comply with. Check regulatory requirements for UK and EU markets, including labelling, approvals and testing.

Check what? Change how? Go where? No wonder Ketan and many other companies are taking precautions – temporary suspension while the details emerge next year. Let's hope things improve quickly.

On a lighter note, a clear call from the government for Model Engineers to help businesses prepare for Brexit:

An attractive young woman in a high-vis jacket with safety glasses and helmet is struggling to read the digital version of MEW on her Tablet. And she owns such a nice lathe! What could possibly be wrong?

Can you think of a Caption?

Dave

Thanks for your answer Ketan. Regarding Groupage hubs and freight forwarders, I have used their services for lots of orders from different UK traders (including Arc), EU and US traders without incident. Of course I bear the responsibility for the shipment from the hub to my country. I've had a lathe and a milling machine delivered this way.

Unfortunately the extra costs in taxes and paperwork will turn away overseas customers. I have stocked on what I needed from Arc last week, I really hope some sort of trade deal is made for the sake of both the exporter and importer.

"I pressed start on the ap. Why isn't it going round?"

The reason chinese post is cheap is that it's considered a 'transitioning country'. An absurd situation when they have such a proportion of trade. That status allows outbound cheap post and under accepted rules leaves the incoming country's postal service the joy of delivering myriad packets at their loss. And explains why return post is so pricey in compsrison with china>here.

pgk

There is another problem out there: Our ports are being swamped by empty containers when they should be back in China.

https://www.bbc.co.uk/news/business-55237791

JA

.

During the Covid lockdown, Anna had been working ‘virtually’ … but now had the opportunity to check how her Breech-Rings compared with what Great Aunt Ruby made during the War.

**LINK**

Ruby Loftus screwing a Breech-ring

MichaelG.

Oh, look! I've just got my engineering degree come through on my tablet! Now what's this big old lump do?