COVID19

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This Sunday the deadline set by the European Parliament for a Trade Agreement between the United Kingdom and the European Union has passed. Unfortunately, the negotiators have not yet been able to come to an agreement. 

So many deadlines that were set for these negotiations have passed, that we’ve lost count. The one deadline that parties will not be able to pass is the January 1st 2021 deadline because on that date the transition period ends and the United Kingdom is officially no longer part of the European Union. 

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A Wave of Shocks Hits the Economy

The global economy, and with that global trade is getting hit in waves. 

The first shock was a supply shock that was caused by production facilities in China coming to a stop. This caused problems in supply chains that depended on parts and materials from China. Depending on the industry this shock took several weeks to hit. Industries with low inventory levels, like the automotive industry, were hit first.

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They support importers and exporters, for example by creating export documents and certificates. They are also the link between importers and exporters and the Customs Authority. I spoke with Kevin in response to his interview with Fresh Plaza. 

fresh fruit and veg
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The effect of the coronavirus pandemic is felt across Europe. Freight volumes are starting to go down and empty containers are in the wrong place. Shippers, shipping companies, ports, everyone is impacted. Because ships take about six to eight weeks to make the trip from Asia to Europe, there was a delay in the negative effects of the lockdowns in Asia.

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Today we bring you a round-up of the main customs-related news items we came across recently when it comes to coronavirus.

Germany Gives Company Temporary Financial Relief

The German government is allowing companies that are affected by the corona crisis to defer their taxes, without charging interest.

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There is no doubt about it. The coronavirus outbreak has a huge impact on global trade and economies worldwide. Countries are closing borders, planes are grounded, and factories are shutting down.

The Economic Impact

The Dutch Rabobank is predicting a decline in Gross Domestic Product of 0.2% in the Netherlands, instead of the 2% growth that was predicted before the coronavirus hit our society.

Apart from being a heavy burden on healthcare, the corona crisis also leaves deep marks in the Dutch economy.

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Export of PPE is prohibited for the time being. For importing personal protective equipment, the following conditions apply:

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Coronavirus is the main topic on everybody’s mind at the moment, citizens and country leaders alike. Some countries are in partial or even in full lockdown, while other countries have installed “social distancing” measures. This has an impact on the Brexit negotiations as well.

While working from home with video conferencing is working for office meetings, it is making Brexit negotiations difficult. Both sides say they are working on alternative options, but that takes time.

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As a result of Corona, borders within Europe close to people. This closure applies to the Netherlands from March 19 6:00 PM. This closure does not apply to goods.

All border gates are closed to passengers from the following countries: Italy, Germany, France, Spain, Norway, Denmark, Belgium, Austria, Sweden, Netherlands, China, Iran, Iraq, South Korea, the United Arab Emirates, Saudi Arabia, Japan, Singapore, Hong Kong and Thailand.

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Coronavirus has a huge impact on our global society. Different countries have different levels of measures that are being taken to prevent further outbreak.