North Wales Assembly Member Mark Isherwood has questioned the Minister for International Relations this week over how the Welsh Government will develop international trade in a post-Brexit environment.
Raising the matter in the Assembly Chamber last week, Mr Isherwood said:
“According to media coverage, as Brussels has signed new trade deals around the world, goods from partner countries can enter the EU at reduced or zero tariff rates and then flow free into Turkey, which, although not in the EU, is in the Customs Union for goods. Turkish companies don't benefit from reciprocal tariff cuts when exporting to those countries because Ankara is not part of the EU, and it's reported that Ankara, the Turkish Government, therefore started imposing protective tariffs on a number of imports from the EU last year - and concerns were raised about the implications for the UK and Wales, therefore, if we remained in the Customs Union, outside the EU, in the future.
“Similarly, The Guardian's Economics Editor stated in April that those who argue that Britain would be better off negotiating its own trade deals have a point, because the EU is not especially interested in liberalising where it is weak but the UK is strong—in this case, in services. That was an interesting angle coming from The Guardian.
“So, in considering how the Welsh Government will develop international trade in a post-Brexit environment, how will it take into account these practical considerations as highlighted by academics and others over recent months?”
Responding, the Minister said: “I think the first thing to say is you're absolutely right that Turkey is actually in a customs union with the European Union. But I think what's important for us to note is that the relationship that matters most is our relationship with the European Union - 60 per cent of our trade in goods is with the European Union. Therefore, what's important is that we understand that any loss in that market, even for a short period of time, would have a hugely damaging effect on our market here in Wales.”
Speaking outside the Chamber, Mr Isherwood said: “If the UK remains in the EU Customs Union after Brexit we would face the same problems, whilst being unable to negotiate our own trade deals. We now need a post-Brexit Customs arrangement with the EU that addresses these practical issues, not the same old Welsh Labour Government sound bites. They should also acknowledge that the vast majority of Wales’ trade is within the UK”.
