Negotiations with the United Kingdom
In the view of the German automotive industry, everything must be done to maintain the free movement of goods, of services, the freedom of capital and the freedom of movement for workers between the UK and the EU member states in the future. The negotiations of an agreement should achieve an outcome that ensures the continued competitiveness and prosperity of both the EU and UK.
While being better than no deal at all, any Free Trade Agreement will not be sufficient to guarantee frictionless trade.
The Free Trade Agreement should:
- encompass all sectors of the economy,
- should have no tariffs and quantitative barriers (no exceptions),
- contain simple rules of origin (incl. cumulation),
- feature clear and restrictive rules on subsidies,
- foster regulatory cooperation between the EU27 and the UK to prevent new non-tariff barriers,
- cover services and investment as well as trade-plus issues such as competition, government procurement, and protection of intellectual property rights, and
- create a structure for monitoring and dispute settlement.
The continued lack of clarity about the future EU-UK relationship creates significant uncertainty for the automotive sector which leads to a very negative impact on both sides.