The operating costs of freight forwarders may possibly be impacted if a new tariff regime takes effect. This could impact the bottom line of freight forwarding companies, who in turn may try to pass on these costs to buyers.
British shipping firms who trade with European Union may lose the maritime cabotage rights, which can increase the shipping cost for British companies.
In the short term, port congestion could potentially be a major constraint. Vessel calls in the country’s ports could be impacted as there is limited availability of British flagged container ships. And as a result, shippers may be forced to rely on feeder vessels for the cargo movement.
Road freight sector is expected to be hit by labor shortage post Brexit. One will have to wait for the new laws and regulations.
Transportation of goods may take longer as Brexit can potentially create barriers at borders.
Customs check of trucks plying between UK and EU may cause congestion. This can also impact the trade volume over a period of time.
Only a comprehensive and clear Brexit agreement can ensure seamless air connectivity between UK and EU.
UK can no longer be a part of European Union Aviation Safety Agency (EASA), which monitors and standardizes Aviation safety. The agency has said that the withdrawal will significantly alter its cooperation with UK authorities.
UK’s aviation relations with seven countries are covered under EU-U.S. open agreements. The country may have to renegotiate these agreements.
Border management procedures will be affected as additional checks for passengers and cargo is anticipated.
Brexit will lead to shortage of labor in the aviation service sector.
Flexibility in slot allocations will be disturbed as Brexit may lead to UK being not part of European Common Aviation Area (ECAA).
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