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FX.co ★ Johnson threatens EU with yet another trade war

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Forex Humor:::2021-06-25T14:24:20

Johnson threatens EU with yet another trade war

The UK government hints that it is prepared to declare a large-scale trade war on the European Union. The controversial status of Northern Ireland and a legal conflict over the supply of goods to this country are likely to prompt the United Kingdom to unleash a war against its counterpart.

British Prime Minister Boris Johnson announced the possibility of suspension of part of the Brexit agreement regarding the supply to Northern Ireland. The county borders the Republic of Ireland that is part of the EU. This means that under the Brexit agreement, people and goods can move freely between Northern Ireland and the Republic.

At the G7 summit, Boris Johnson appealed for a compromise in the dispute with Brussels over the border issue. Under the agreement, Northern Ireland receives a dual status, remaining part of the United Kingdom and the EU’s customs territory. As a result, customs checks and controls apply for goods moving from Great Britain to Northern Ireland. As long as the grace period is in effect, import and export declarations are not required. London unilaterally extended the grace period for goods of animal origin. Meanwhile, Brussels responded by turning to the European Court, stating "a violation of the relevant substantive provisions" of the Brexit deal.

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