The new EU trade chief responsible for post-Brexit negotiations with the UK told the BBC that a “pan-European (customs) space is something we could consider” as part of the reset discussions which are due to begin this year.
Maros Sefcovic was referring to the idea, pushed by certain British business groups, of joining the Pan-Euro-Mediterranean Convention. The PEM allows manufacturers to use parts or ingredients from dozens of countries, from Iceland to Turkey, in tariff-free trade.
The previous Conservative government opted not to pursue the EMP as part of its post-Brexit trade deal, but some businesses say it will help Britain re-enter complex supply chains that have been hit by tariff barriers of Brexit.
Speaking at the World Economic Forum in Davos, Mr Sefcovic said the idea had not yet been “precisely formulated” by the UK and that “the ball was in the UK’s court” .
The BBC understands that the UK government has started consultations with businesses on the benefits of the EMP plan which could help cut red tape and improve trade. No final decision has yet been made.
Mr Sefcovic also said a large-scale veterinary agreement that would help reduce friction in agricultural and food trade would also require review.
The EU-UK fisheries deal expires next year. “A solution for fisheries is very important for the EU, and again, we have communicated this several times.”
Single market treatment for the UK’s food and agricultural exports would mean “we should have the same rules and improve them at the same time, we call that dynamic alignment”.
Mr Sefcovic said he was surprised that the Commission’s offer on youth exchanges had been “hijacked”. “This is not about freedom of movement. This is a proposal to build bridges. We don’t want to be like the applicants here, because we think it’s good for the UK,” he said. he declared.
The Trade Commissioner said UK-EU relations were “definitely” in a better place and his British counterpart Nick Thomas-Symonds was “on speed dial”.
The Prime Minister will attend a European summit next month focused on defense and security.
He acknowledged that the EU needed to be “extremely careful and responsible” in managing trade relations with Donald Trump’s America, but that he was willing to negotiate. He said that while the EU had a surplus of goods such as cars, the United States had a surplus of services.
