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Old 27.11.2017, 10:31
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Re: The Brexit referendum thread: potential consequences for GB, EU and the Brits in

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Due to fall in the £, those companies will be in a better financial position with the WTO tariffs after BREXIT, rather than if the status quo was maintained. EU exporters face a double whammy.
The commonly held belief that when Sterling depreciates, we export more is simply no longer true. Because so much of our manufacturing is in reality assembling imported components, what we might gain on the export price we lose on the materials import costs rising.

As proof of this, Sterling has been low for over a year now but the UK balance of trade has not seen a corresponding improvement.
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