Consequences Of Brexit [Part 9] Read First Post Before Posting

[the_bloke 17]

https://www.bbc.co.uk/news/business-52829348

 

Nissan closes it's Barcelona plant amid rumours Renault's will also be built in Sunderland.

 

This isn't going in line with the anti-Brexit narrative is it?

[Baron99 794]

1 hour ago, the_bloke said:

https://www.bbc.co.uk/news/business-52829348

 

Nissan closes it's Barcelona plant amid rumours Renault's will also be built in Sunderland.

 

This isn't going in line with the anti-Brexit narrative is it?

No really our concern anymore is it?  No doubt the Spanish can rely on their EU partners to try & bail them out further? 

 

I can see the Northern Europeans, Germany, Netherlands, Belgium chomping at the bit to throw further money their way - not! 

[L00b 441]

4 hours ago, the_bloke said:

https://www.bbc.co.uk/news/business-52829348

 

Nissan closes it's Barcelona plant amid rumours Renault's will also be built in Sunderland.

 

This isn't going in line with the anti-Brexit narrative is it?

Nissan is pulling out of Europe (EU) and refocusing manufacturing in Asia. So said Nissan when it announced the Barcelona plant closure.

 

The Sunderland plant is not in Europe, and scheduled to remain in a cheaper cost base (Singapore on Thames, remember?), to then service lower-value markets with which Japan either has no FTA, or a less  favourable FTA than it now enjoys with the EU.

 

I'm confident that you can work out for yourself which markets (the UK, for a start), and what that means for UK manufacturing jobs.

 

Still, good for Sunderland

Edited May 28, 2020 by L00b

[RollingJ 2,034]

5 minutes ago, L00b said:

Nissan is pulling out of Europe (EU) and refocusing manufacturing in Asia. So said Nissan when it announced the Barcelona plant closure.

 

The Sunderland plant is not in Europe, and scheduled to remain in a cheaper cost base (Singapore on Thames, remember?), to then service lower-value markets with which Japan either has no FTA, or a less  favourable FTA than it now enjoys with the EU.

 

I'm confident that you can work out for yourself which markets (the UK, for a start), and what that means for UK manufacturing jobs.

 

Still, good for Sunderland

Bolded bit, @L00b - think you better go back to school and relearn geography.🤣

[L00b 441]

8 minutes ago, RollingJ said:

Bolded bit, @L00b - think you better go back to school and relearn geography.🤣

I think you'd better come to terms with the fact that the UK left the EU last January.

 

How many cars do you think Nissan UK is going to sell into the EU27 with a 10% tariff, relative to now with 0%?

 

Here's a hint, and why Nissan is closing Barcelona and keeping Sunderland: the mark-up on new cars for the segments which Nissan and its competitors service, is around 5%. The EU tariff on imported cars (UK-made ones from 1st January 2021) is 10%.

 

I wonder if they'll make a Nissan Brexit

Edited May 28, 2020 by L00b

[altus 540]

4 hours ago, the_bloke said:

https://www.bbc.co.uk/news/business-52829348

 

Nissan closes it's Barcelona plant amid rumours Renault's will also be built in Sunderland.

 

This isn't going in line with the anti-Brexit narrative is it?

It doesn't fit in with the it's not because of Brexit they are moving everything back to Japan narrative either. ;)

 

As one of the world's most modern and productive car plants it was never going to be shut down just after Brexit. The real test will be what happens when the plant's equipment get old and tired and needs replacing. Nissan are obviously focusing on elsewhere and whilst Renault might take up some of Nissan's spare capacity for now, I can't see them investing heavily in a UK plant when they have sites in the EU.

 

Whilst this announcement is good for Sunderland for now, it doesn't really give an indication what might happen in the long term.

[L00b 441]

4 minutes ago, altus said:

It doesn't fit in with the it's not because of Brexit they are moving everything back to Japan narrative either.

 

As one of the world's most modern and productive car plants it was never going to be shut down just after Brexit. The real test will be what happens when the plant's equipment get old and tired and needs replacing. Nissan are obviously focusing on elsewhere and whilst Renault might take up some of Nissan's spare capacity for now, I can't see them investing heavily in a UK plant when they have sites in the EU.

 

Whilst this announcement is good for Sunderland for now, it doesn't really give an indication what might happen in the long term.

Precisely 

 

UK loses foreign investment crown to France after two decades at top. The UK has lost its crown as Europe's top destination for foreign investment for the first time in more than two decades after being overtaken by France. ... France attracted 1,197 and Germany ranked in third place, with 971.

Edited May 28, 2020 by L00b

[RollingJ 2,034]

2 minutes ago, L00b said:

I think you'd better come to terms with the fact that the UK left the EU last January.

 

How many cars do you think Nissan UK is going to sell into the EU27 with a 10% tariff, relative to now with 0%?

 

Here's a hint, and why Nissan is closing Barcelona and keeping Sunderland: the mark-up on new cars for the segments which Nissan and its competitors service, is around 5%. The EU tariff on imported cars (UK-made ones from 1st January 2021) is 10%.

 

I wonder if they'll make a Nissan Brexit

I know we left the EU - but that does not mean we are not in Europe.

[L00b 441]

13 minutes ago, RollingJ said:

I know we left the EU - but that does not mean we are not in Europe.

We're talking Brexit economics, RollingJ, i.e. as an EU Member state within the Single Market and/or EEA, or as a third country outside of it.

 

The UK is still treated as the first now, exceptionally, through the post-Brexit transition agreement.

 

This agreement ends on 31 December.

 

It can be extended for up to 2 years, if that is agreed by the EU27 and the UK within the next 33 days.

 

But your government has categorically refused any such extension, and continues to do so.

 

That means the UK becomes the second, that third country outside of the Single Market/EEA, on 1st January 2021.

 

Economically speaking, that means the UK, and the Nissan plan on it near Sunderland,  might as well be located next door to the US or Australia, on 1st January 2021.

Edited May 28, 2020 by L00b

[RollingJ 2,034]

1 minute ago, L00b said:

We're talking Brexit economics, RollingJ, i.e. as an EU Member state within the Single Market and/or EEA, or as a third country outside of it.

 

The UK is still treated as the first now, exceptionally, through the post-Brexit transition agreement.

 

This agreement ends on 31 December.

 

It can be extended for up to 2 years, if that is agreed by the EU27 and the UK within the next 33 days.

 

But your government has categorically refused any such extension, and continues to do so.

 

That means the UK becomes the second, that third country outside of the Single Market/EEA, on 1st January 2021.

 

Economically speaking, that means the UK might as well be located next door to the US or Australia.

I know we are talking 'Brexit economics' @L00b, but it appears in that original post as though you were talking geographically.

I also know that you know what I meant - you are just being argumentative for the sake of it, but I'll accept that - for you the EU is the Holy Grail.

[Magilla 510]

4 minutes ago, L00b said:

Economically speaking, that means the UK might as well be located next door to the US or Australia, on 1st January 2021.

Or worse, since the EU enjoys hundreds of bi-lateral agreements with the likes of the US, Russia and China that the UK loses 1st Jan, we instantly become less competitive in the EU market than all of them too!

[Litotes 63]

28 minutes ago, RollingJ said:

I know we are talking 'Brexit economics' @L00b, but it appears in that original post as though you were talking geographically.

I also know that you know what I meant - you are just being argumentative for the sake of it, but I'll accept that - for you the EU is the Holy Grail.

No it didn't...