According to a report published by the United Nations (UN) trade agency UNCTAD late-Tuesday, the UK could lose at least $ 16 billion in sales to the European Union (EU), should it leave the EU without a Brexit deal, per Reuters.
Key Findings:
“This represents an approximate 7% loss of overall UK exports to the EU.
That would include $5 billion in motor vehicle exports, $2 billion in animal products and a further $2 billion in apparel and textiles.
UNCTAD said the $16 billion figure was conservative, and only took into account a rise in EU tariffs from zero to the basic “most favored nation” rate that it offers countries without preferential deals.
UNCTAD said 20% of Britain’s non-EU exports were at risk of higher tariffs in markets such as Turkey, South Africa, Canada and Mexico – countries that have preferential trade deals with the EU but have not yet agreed to roll over those benefits for British exporters in the event of a “no deal” Brexit.
If Britain did not strike those deals before its exit from the EU, it would lose a further $2 billion in exports, with higher tariffs for cars, processed food, clothes and textiles, with $750 million in forgone motor vehicles exports.”
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