InstaForex

November 8, 2021

Can the UK-EU Trade Agreement Be Destroyed At Any Time?


The disagreement between the UK and the European Union (EU) on trade agreements remains at a stalemate even after talks between the two sides took place last week.


Irish Foreign Minister Simon Coveney has warned that UK -EU trade agreements could be destroyed due to disputes over Northern Ireland protocols.


This follows growing expectations that Britain is preparing to trigger Article 16 of the Northern Ireland Protocol, which allows both parties to suspend the agreement if it has a negative impact.



As a result, Coveney said that the EU could terminate the Trade and Cooperation Agreement in response.


Northern Ireland is now protected by a special Brexit agreement known as a protocol that keeps the country in the EU’s single market for goods, where it prevents strict border checks with Ireland and allows free trade with the EU.


However, it also created a trade border between the UK and Northern Ireland, which caused difficulties for some businesses.


The EU has proposed operational changes in the protocol, but Britain wants more widespread changes causing Brussels to refuse to accept its demands.