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Because of rules of origin, even if the UK enters into a trade agreement with the EU, UK manufacturers embedded in pan-European supply chains are going to face new bureaucracy and costs, with long-run implications for their continued viability.
If you only trade within the UK and Europe, Rules of Origin will not have concerned you. Brexit could make these Rules become a serious concern to you.
"Rules of origin are the complex requirements that determine whether or not a product is produced ‘locally’ in the UK or the EU – its economic nationality. If it is not deemed to be sufficiently British, it may not qualify for these preferential tariff rates"
"...rules of origin are how customs authorities classify where an exported product has originated. The rate of duty that importers are required to pay when bringing goods into a country depends on three elements – the type of goods (which is classified by a ‘tariff code’), the country the goods are being imported into, and where they are judged to have ‘originated’ from – i.e. the origin."
Putting politics aside, let us look at a more technical aspect of free trade negotiations – rules of origin (ROO).
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