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After extremely long negotiations, the European Union and Britain finally agreed to a Brexit trade pact on Christmas Eve. This prevented a tough economic breakdown at the end of the year at the last minute.
The head of the EU Commission, Ursula von der Leyen, and Prime Minister Boris Johnson, were satisfied. Chancellor Angela Merkel attached historical importance to the treaty.
The agreement aims to reorganize the relations between the island and the mainland starting in January 2021. The most important point is to avoid tariffs, allow unlimited trade in both directions and limit friction losses as much as possible.
The contract also includes fishing and cooperation in energy, transport, justice, police and many other topics. With the transitional phase of Brexit ending on December 31, the time pressure was enormous in the end.
Both sides are satisfied
“It took a while, but now we have an agreement,” said the head of the EU Commission, von der Leyen. ‘It was a long, rocky road. But the result is good. “The agreement is fair and balanced.” And it was a matter of common sense for both parties, “added von der Leyen. The EU was in a very good negotiating position and fully safeguarded its interests. Now the community can finally leave Brexit behind.
Prime Minister Johnson made a similar statement in London. “I think it is good business for all of Europe,” he said. And he added: “We will be your friend, your partner, your supporter, and not to forget, your number one market.”
From your government’s point of view, the agreement has achieved everything British public opinion wanted with the 2016 Brexit referendum. “We have regained control over our money, our borders, our laws, our trade and our fishing grounds” the government declared. At the same time, the agreement guarantees exemption from customs duties and unlimited exports to the EU.
Tens of thousands of jobs were at stake
Britain left the EU at the end of January and is only a member of the EU internal market and the customs union for a transition period until December 31. Then comes the economic breakdown. Without an agreement, more complex customs duties and controls would have been necessary. Business representatives from both sides warned of the disruption and the loss of tens of thousands of jobs.
In reality, the negotiations should have concluded in October, but they dragged on. Several times they were on the verge of failure. Now the EU can no longer ratify the treaty in due time, but apply it provisionally.
In order to make the necessary preparations, the German Council Presidency called a meeting of the EU ambassadors for Friday. On the British side, the government has announced that it will refer the matter to Parliament.
Fair competitive conditions
Chancellor Merkel praised the agreement in Berlin. “With the agreement we are laying the foundations for a new chapter in our relations,” said the CDU politician. “Britain will continue to be an important partner for Germany and the European Union outside the European Union,” Foreign Minister Heiko Maas (SPD) was also relieved.
In exchange for trade without tariffs and without volume restrictions, the EU demands fair competition, the so-called level playing field. What is meant are the same environmental, social and subsidy standards.
The issue remained a very complex point of discussion until the end. A way was sought to ensure fair competition for the future as well and to counter it in another way. That was a success, von der Leyen said.
Fishing as the last hurdle
Then there was a final sticking point: the access of EU fishermen to British waters. The clarification of the final details dragged on for many hours until noon on Thursday. Finally, a compromise was found here too.
The worsening corona pandemic in Britain had recently increased the pressure. After a mutated variant of the coronavirus was discovered, France temporarily closed its borders to trafficking from Britain. That is why thousands of trucks got stuck on the British side, from the critics’ point of view, a preview of the situation in a no-deal Brexit.
British voters had voted in 2016 with a narrow majority to leave the EU. Prime Minister Johnson won the 2019 parliamentary elections, not least with the announcement that Brexit would take place. As a central point, he repeatedly mentioned the recovery of sovereignty and control over one’s borders and laws.
The British Parliament is due to vote on the Brexit trade pact between the UK and the EU on December 30. British Prime Minister Boris Johnson announced this in London on Thursday.
