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Nissan and Toyota would like to have a compensation for no-deal Brexit

6th October 2020 Chris Kimble

Nissan and Toyota would like to have a compensation for no-deal Brexit Pin It

Japanese car makers Toyota and Nissan are considering claiming financial compensation in the UK if a no deal-Brexit takes place. That’s what Japanese daily The Nikkei reports on Monday.

If no agreement is reached on a trade deal by the end of October, this may mean that car manufacturers will have to pay 10% additional import duties.

In 2019, the Japanese car brands sold nearly 200,000 cars in the UK.

British Prime Minister Boris Johnson said on Sunday that he preferred a deal between London and Brussels, but also acknowledged that he could “live” with a no deal-Brexit.

The precise deadline for reaching agreement still seems to be at issue. In any case, the blocs are still negotiating until the forthcoming EU summit on 15 and 16 October. However, the EU would like to negotiate further and see opportunities for a deal just a few weeks after the EU summit.

Without a deal, the loss of economic growth for the UK could reach 3.9%.

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