No new deadline was announced on Sunday, but von der Leyen said he was “responsible” for going the “extra-mile”, adding that he had a “constructive and useful” phone call with Johnson.
Speaking in London, Johnson said the two sides were “very different from the key issues” and warned that “probably now. We have to be prepared for the WTO terms, Australia’s terms,” he warned.
Secure Australia does not have a free trade agreement with the European Union, although negotiations are ongoing to protect anyone. The expression “Australia Australia” has been widely used by Johnson and his government as a no-brainer for Brexit.
But the term is misleading, as Australia already has a Mutual Recognition Agreement between Australia and the EU, which makes it easier for manufacturers to secure the regulatory approvals needed to sell their goods. However the UK does not have such an agreement with the EU.
If a deal is not agreed, it will be forced to trade with the bloc in accordance with the rules set by the World Trade Organization. That would mean new tariffs and other hurdles, such as regulatory investigations and paperwork.
The British prime minister said his government would continue to try to reach a trade deal, but warned that no resolution could be reached by the January 1 deadline. “I think there’s going to be a deal but we’re very different from the main ones.
“And we have to get back in control of our fishing,” Jones said.
The European Union and the UK have been trying for months to reach a trade deal before the Brexit “transition period” ends at midnight on December 31. A joint statement by Johnson and von der Leyen earlier this week cited three “critical” sticks. Points: Phishing rights, the UK’s ability to change EU standards and legal oversight of any transaction.
Failure to reach a trade deal will be economically painful for both the European Union and the UK, although its impact on the UK will be disproportionately greater, as the EU is its largest trading partner. Losing access to its single market will cut UK businesses from Europe’s 450 million customers, and burden them with additional tariffs and red tape.
The UK Office Fees for Budget Responsibility (OBR) estimates that the no-deal Brexit will earn 40 40 billion ($ 1 billion) or 2% of the UK’s economic output in 2021 and the second half will put more than 300,000 people out of work next year.
However, the OBRA said in November that even if London and Brussels could make a deal, their new trade relationship was likely to hurt output by about 4% in the long run, compared to Britain in the European Union.
Ireland, one of the biggest losers in the European Union, says it is “absolutely desirable” that the UK and the EU reach a post-Brexit deal. The Irish Prime Minister, or Taosich, Michelle Martin, told the BBC on Sunday that the note-deal scenario in the UK, Ireland and across Europe would be “so detrimental to workers” and would present a “terrible failure of the statecraft”.
Johnson said Thursday he has instructed his cabinet to prepare for the failure of the talks, and the EU has announced plans to keep its borders open to commercial aircraft, trains and trucks.
The UK Ministry of Defense said on Saturday that “many strong enforcement measures” would be available in the UK at the end of the transition period, including “numerous” sh-fashore patrol vessels available in its territorial waters.
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