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2019-07-10

Brexit Update from Flexicon

An extension to Brexit to the 31st January 2020 was agreed by the EU to allow the UK to have a General Election and get a fresh mandate from the people of the UK regarding Brexit. The extension is not fixed and has attracted the term of “flextension” with a clause to pull forward to 1st December ’19 or 1st January ’20.  With a General Election set for December 12th it is unlikely that either of these early dates will be realised. We note a statement from the EU that there will not be a further extension after January 2020.

The Government has no plans to have further negotiations with the EU following the granting of a Brexit extension to 31 January 2020; the European Council decision on the extension excludes any re-opening of the Withdrawal Agreement.

As an experienced worldwide exporter, we are prepared for any implications that a no-deal exit from the European Union trade environment will bring. We export to over 50 countries and have recently been awarded Approved Exporter Status for global regions including Far East and Americas, reducing the administrative burden necessary to satisfy customs requirements for many of our RoW partners.

For continued exports to the EU 27, we have an EORI No. 258192678000 and we have responded to EU advice by migrating our product validation to EU based Notified Bodies, allowing us to continue CE marking of our products.

As a company well versed with the demands of international trade, we have every confidence in our employees to respond to any outcomes from this decision. Once we understand the full implications of any changes required to comply with the terms of Brexit, we will action, implement and update our partners and customers accordingly.

In the meantime, and with the uncertainty surrounding Brexit, Flexicon has taken a number of positive actions to ensure our customers receive normal service during this time. These include increasing our stockholdings of both materials and finished goods, whilst working with our logistics partners to receive assurances for transport and travel plans.

We would also recommend to our customers that they consider their materials planning and requirements to ensure any short-term projects or product needs are also given adequate safeguard. However, as stated before, we do not envisage any manufacturing lengthening lead times.

For our International Partners, one potential risk that we have no influence over is Border and Customs control. In a hard Brexit situation, it could be possible that we see delays at the ports. We feel it appropriate to recommend to our customers that they consider taking appropriate actions such as bringing forward proposed orders and increasing your stock levels.

We will of course continue to work with all customers and supply chain partners over the coming months as we monitor developments. We will continue our preparations to ensure our ability to operate effectively as a supplier and business partner through the Brexit process and on into a very positive and productive future.

As part of a global operation, Atkore have operations in mainland Europe which underlines our commitment to our European customers, distributors and our suppliers and we wish to reassure our partners of our ongoing commitment to continued trade, both within the EU and with our other Global markets.

 

Any further queries, please contact us on flexiconsales@atkore.com


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