US and UK obstacle course
As we all know the UK voted to leave the EU. YAY! Or so we think that this is a YAY moment.
I've noticed that many people are wary about our position and as of yet we still haven't left the EU. But a big part of leaving is the fact we will now be running outside of the free market, and since this would happen it would mean that we can secure a more lucrative deal with other countries mainly the US,
Liam Fox said that securing a more lucrative deal with the US is one of the biggest prizes of leaving the EU. More than a year after he took the job as International Trade Secretary, those hopes are taking an absolute battering from the US.
Everyone knows that the US is a very, very tough country to negotiate with in fact one things they did was negotiate with a Canadian airline and you know what they did? They proposed Tariffs of an increase of 200%. 200%? thats a hell of a lot of money for the Canadian airline to dish out. You know who'll be disadvantaged by this other than the airline? the 4,200 jobs in Northern Ireland because they are the ones who make the wings for the aircraft meaning redundancies will have to be made. In my opinion the US are too hard on the other countries especially if they are wanting to make money. They should calm down and try and come to an agreement that not only helps them but also helps the other countries as well as this will form a bond and so they can come to more agreements in the future.
So....... back to Liam Fox. He needs to take a strong and suitable team of negotiators to the US in June to come to an agreement for food deals and any other deals that will help out the UK. However he does not have a good enough team, in fact his team is light in both numbers and in the experience department meaning he will not be able to negotiate at a high level as he would've liked. Especially when he is coming up against the US negotiating team who are seventy seven strong who are all largely seasoned negotiators whereas he took twenty seven officials with no experience at all.
There is a massive risk involved since we are taking inexperienced officials along and that is.....we have a high chance of us not getting the best deal for the UK. This is bad as it could mean the US benefits of us and that we are doing all the hard work for them and not getting anything in return. However it could mean in the future we could become a country they may appreciate more and in fact create a better deal that can benefit both. Food for thought.
The US is focusing on promoting it's farming interests and the interest in penetrating the UK markets. This could mean the sale of chlorine-dipped chicken, modified crops and hormone treated beef to name only a few. This is bound to cause controversy for British consumers as it will compromise our food standards. Which I totally agree, I don't want to end up eating chicken that had been dipped in chlorine. Chlorine is a chemical we use in the swimming baths. And I've been unfortunate to taste some of it. And it's disgusting. In my opinion don't allow the penetration to UK markets however this could ruin our run out of the EU and in turn it can cause chaos with yet another country and we don't want that now do we.
I've learned a lot from this, especially the fact we don't have enough negotiators to help our case outside the EU. We need to train more negotiators and so we can help the UK more by getting us the best deals we can with countries.
Mr Fox suggests that instead of looking at food markets, the US-UK agreement should be more suited to the service sector including the financial services. A trade deal for goods can be seen as little value for both parties. In my opinion we really need help in the financial sector for our economy since we are in a really bad deficit, having help with out debts can make us slowly climb out of the deficit and hopefully into a surplus. however saying that the US has one of the biggest deficits going as they spend a lot of money on the army and defence rather than health care.
In the end we actually have no idea how well Mr Liam Fox will fare against the US as it has not happened yet, I really hope it goes well as it not only effects the economy but it will also affect my life as well as everyone else's. I have learned that we aren't that strong at negotiating as clearly we still haven't left the EU but when we do its going to be hard for us to get trade deals if we keep up with that kind of negotiating tactics, we need to change and we need to do it now.
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