Manufacturing exports to the EU: Brexit warnings debunked

Steven

Hey Stephany, did you see that manufacturing exports to the EU have actually increased despite all the Brexit warnings?

Stephany

Oh really? I thought Brexit would have made trade with the EU more difficult for British manufacturers. What's the reason behind the increase?

Steven

According to the article, the increase in manufacturing trade with the EU is mainly due to a rise in exports from Scotland, particularly in the oil and gas industry. The energy crisis prompted a demand for equipment, making some exploration projects viable again.

Stephany

That's interesting. So, it seems like the ongoing Ukraine crisis also played a role in boosting exports from Scotland to the EU. But what about Northern Ireland? I heard they have a unique position when it comes to trade with the EU.

Steven

Yes, you're right. The Northern Ireland Protocol, which kept the region inside the EU's single market, has also been credited with boosting trade. Northern Ireland enjoys a dual access position, retaining access to the Single Market for goods and being able to trade goods freely into the rest of Great Britain.

Stephany

That's quite a unique advantage for Northern Ireland. But it seems like not all regions in England and Wales are experiencing the same increase in exports to the EU. Only Scotland and Northern Ireland saw an increase, while the majority of English regions and Wales suffered a decline.

Steven

That's correct. Some regions in England, like the north-west and the West Midlands, had a decline in their share of exports to the EU. There's a structural shift in the UK's trade patterns that is hurting these regions.

Stephany

It's interesting to see how trade patterns are changing. The report also mentioned that UK manufacturers are looking at opportunities outside their traditional big three markets. There's a need for export support and government policy to reflect this shift.

Steven

Absolutely. The EU still remains the most important market for manufacturers, so efforts should be made to improve the existing agreement with the EU and reduce barriers to trade. But it's also important to adapt to changing trade patterns and explore opportunities in other markets.

Stephany

I completely agree. It's a complex situation, but it's good to see that manufacturing exports to the EU are still growing despite the challenges. Anyway, I have to go. I must attend a meeting. Talk to you later!

Steven

No problem, Stephany. Good luck with your meeting. Let's catch up soon!