27 July 2018

Politico: EU shoots down Theresa May’s customs plan

“The EU cannot — and the EU will not — delegate the application of its customs policy and rules, VAT and excise duty collection, to a non-member who would not be subject to the EU’s governance structures,” Barnier said. [...]

While Barnier and Raab reiterated their hope of completing a withdrawal treaty by October, they also said negotiators would not meet again until mid-August — a schedule that calls into question their repeated statements that talks need to be intensified and infused with new energy. Meanwhile, there has been a flurry of increased activity in Brussels and London to prepare for the possibility of a so-called “no-deal” scenario under which the U.K. would crash out of the EU on March 29, 2019 without a formal treaty. [...]

Barnier restated the EU27’s long-declared and brightest red lines: the single market and the four freedoms, including the freedom of movement of workers, are indivisible and non-negotiable. But on Thursday he was more explicit in saying that the EU would not cede “control of our money, law and borders” to the U.K. if it is not bound to the bloc.  [...]

“President Juncker’s visit to Washington yesterday shows the importance of our Common Commercial Policy,” Barnier said. “It shows that we are stronger together.” Juncker’s deal with Trump also illustrated how firmly the EU stays committed to its core principles even in the toughest of negotiations.

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