Trade Agreements – the CEP Group – Transforming Disruption into Opportunity(sm)

EU and Japan create world’s biggest free trade zone

Almost all tariffs on trade between the European Union and the world’s third-biggest economy have been removed. European companies could save around a billion euros in duties each year.https://www.dw.com/en/eu-and-japan-create-worlds-biggest-free-trade-zone/a-47319521

source: DW Akademie

Trade Agreements

BREXIT impact

What happens when the UK leaves the European Union? When this occurs, we can expect:

Economic degradation due to the exit of the 5th largest economy
Devolution of Scotland,
The possible exit of key EU members (Italy, France and Spain), and
China will face significant headwinds to its “One Belt, One Road” strategy

Consequently, the most exposed logistics carriers, e.g., international integrators, will suffer the first impact. This will be followed by China dependent industry economies, e.g., natural resources (extractables) and business to consumer (B2C) goods and the logistics supply chains that support these industries.

The end result is the balkanization of the global economy, a global tsunami. The Central Banks can only shore up the breakwater for a limited period of time, including the US FED.