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Washington’s Brexit Fears Over Northern Ireland Delays US-UK Trade Agreement

December 2, 2021 by Forex Winner Leave a Comment

Washington’s Brexit Fears Over Northern Ireland Delays US-UK Trade Agreement

Source: FT

The US is putting on hold a deal to remove Trump-era tariffs on UK and aluminum on Washington’s concerns about London’s threats to adjust post-Brexit trading guidelines in Northern Ireland. DXY down-0.16%, EUR USD up +0.17%.

  • Brussels and Washington have always warned London that single-handedly changing the EU-UK agreement could undermine peace on the island of Ireland.
  • In an official communication observed by the Financial Times, a US commerce department official stated that discussions with the UK on removing metals tariffs could not progress.
  • The official further stated that the US worries about the British threats to trigger Article 16, a clause in the post-Brexit Northern Ireland deal that allows the UK to suspend checks on goods being moved to Northern Ireland from the UK region.
  • US government had informed the UK of the reason for the temporary halt.
  • The British government has said it will trigger Article 16 if a deal is not reached with Brussels to ease unworkable restrictions on trade between Great Britain and Northern Ireland.

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