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Biden unlikely to rescue Brexit-bound Britain, says ParcelHero

[ January 21, 2021   //   ]

The UK-US trade deal is unlikely to be top of the priority list for new US President Joe Biden, says international parcel broker ParcelHero.

Head of consumer research, David Jinks, says that while trading with America is likely to be considerably smoother compared with his predecessor and Biden has already signalled his intention to work far more closely with overseas nations, as British traders struggle to sell to the European Union (EU) because of new Brexit regulations, Joe Biden is unlikely to ride to the rescue any time soon.

Jinks said: “Trump consistently supported the UK’s departure from the EU. In 2016, he called himself “Mr Brexit” and he promised a “phenomenal” deal on his state visit to Britain in June 2019. However, Joe Biden’s Democrats have consistently been a lot less enthusiastic about a post-Brexit trade deal with the UK.

“Former Democrat President Barack Obama once warned the UK that, if it voted for Brexit, Britain would go to the “back of the queue” on trade deals. Democrats preferred the option of negotiating with a united EU when reaching trade agreements. Significantly, President Biden, who is proud of his Irish heritage, has voiced his concern about the impact of Brexit on the Good Friday Agreement. He’s unlikely to be impressed with the UK Government’s continuing fudge over Northern Ireland trade, which has left UK stores struggling to stock branches in both Northern Ireland and the ROI, and which still threatens potential new charges on parcels.

“However, it’s encouraging that Biden started his Presidency on day one by dragging the US back into international relationships and agreements such as re-joining the Paris climate agreement. The reversal of many of Trump’s “America first” policies is likely to encourage international trade.

“For all former President Trump’s supposed enthusiasm for a trade deal with the UK, it didn’t stop him from imposing significant new taxes of 25% on British luxury goods such as Scotch whisky and cashmere knitwear. The Scotch Whisky Association says exports to the US have fallen 30% since the tariff came into force. This wasn’t his only use of punitive tariffs on other nations.”