Download Briefing Paper 80 Briefing Paper 80 - May 2024 Ruby Acquah, Mattia Di Ubaldo, Michael Gasiorek Note: For further information on the values of the Regulatory Indices for 2021, please consult the data at the 2-digit HS level. Key points Introduction Product Regulations and Directives and their Impact on International Trade How the Indices are constructed from EU Regulations and Directives Descriptive Overview of the Regulatory Intensity Indices Conclusion Key points Post-Brexit, UK producers and distributors must show compliance with EU Regulations and Directives when exporting to the EU Single Market, which includes Northern Ireland. Fulfilling these obligations can create novel costs. The Windsor Framework creates a “dual market access” position for producers in Northern Ireland, as their exports are unaffected by the new border formalities and regulatory barriers faced by either GB or EU firms when serving each other’s markets. We introduce a set of indices at the 6-digit product level that capture three categories of obligations resulting from a core list the EU Single Market Regulations and Directives. The three categories are: Technical Requirements, Conformity Assessment, and Compliance These indices can help capture the incidence and impact of EU product regulation on GB-EU trade, trade [...]

Download Briefing Paper 73 Briefing Paper 73 – March 2023 Sophie Clarke, Michael Gasiorek and Aldo Sandoval Hernandez Key Points Business Challenges and Opportunities Difficulties and disadvantages of the TCA Supply chain challenges Conclusion Methodological note Key points Analysis of three surveys of firms conducted by the British Chambers of Commerce reveals that the biggest challenge facing firms across 2021 and 2022 has been increased costs. Labour, skill and supply chain issues are also major concerns but ease slightly in mid-2022. Significant issues for firms working with the new TCA trading arrangements with the EU are those associated with red tape and bureaucracy, shipping/transport issues and delays, increased costs, and customs and border controls. The least significant issue, in the context of the TCA, would appear to be labour and skill issues. Specifically related to the TCA, the biggest changes over time are the rise in the significance of taxes, tariffs and duties for firms, the role of increased costs for firms, and the increased perception of a competitive disadvantage for the UK. There is a notable rise in negative sentiment in the North East and in Northern Ireland. Negative sentiment is the highest in public administration, and [...]

Download Briefing Paper 71 Briefing Paper 71 - December 2022 Michael Gasiorek, Guillermo Larbalestier and Alasdair Smith Key Points What is a sensitive sector? Introduction How to identify sensitive and strategic industries? Making use of the indicators Conclusions and future directions Key points Policy discussions about the effects and opportunities of international trade recognise that some parts of the economy might be more sensitive than others to changes in trade and/or trade policy, but the concept of a sensitive industry has different meanings. There is no single correct way to identify whether sectors are sensitive to import competition, or offer strategic export opportunities, so a range of indicators must be modelled to identify sensitive and strategic industries. Our highlights include: the largest low-wage sectors are in services, with little exposure to international trade many of the manufacturing sectors which score highly on several indicators of sensitivity (clothing, leather, textiles, wood) are small the large food manufacturing sector has a very high level of protection from import competition the sectors identified as having strategic export potential typically have high wages, high levels of R&D expenditure, high exports, and low SME presence, but otherwise are quite diverse What is a [...]