economic indicators

UK exports to EU slump in first month of new Brexit trade ties

Economic Indicators (Mar 12, 2021 03:15AM ET) UK exports to EU slump in first month of new Brexit trade ties

© Reuters. FILE PHOTO: Containers are stacked at the Port of Felixstowe

LONDON (Reuters) – Exports and imports from Britain to the European Union plunged during the first month of the country’s new trade relationship with the bloc, according to data published on Friday with some heavy caveats.

Exports of goods to the EU, excluding non-monetary gold and other precious metals, slumped by 40.7% in January, the Office for National Statistics said. Imports fell by 28.8%

The ONS had previously warned that the hit to trade from the COVID-19 pandemic would make it difficult to identify a Brexit impact from new customs arrangements in January’s data.

But it said there were signs that this hurt trade at the start of the year.

“External evidence suggests some of the slower trade for goods in early January 2021 could be attributable to disruption caused by the end of the transition period,” the ONS said.

It said the weak figures likely reflected a lull after stockpiling in November and December ahead of the end of the Brexit transition period and it also pointed to a new national coronavirus lockdown in Britain that started in January.

“All of these are potential contributing factors to the fall in January trade in goods,” the ONS said.

Britain’s overall goods trade deficit, including non-EU countries, narrowed to 9.826 billion pounds ($13.70 billion) in January from 14.315 billion pounds in December.UK exports to EU slump in first month of new Brexit trade ties 

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s