Slashdot Mirror


Japan Goes Public With Brexit Demands, Says Data Flow Deals Must Be Protected (arstechnica.com)

Kelly Fiveash, writing for ArsTechnica:UK Prime minister Theresa May said at the weekend that she wanted to take her time to secure the best trade deals for a post-Brexit Britain, and reiterated -- in her trademark vague terms -- that the so-called Article 50 won't be triggered this year. But political pressure from governments as far away as Japan continues to mount. On Sunday, in a bold move, the Japanese government published a 15-page memo setting out a number of demands it wants the UK to adhere to, once it leaves the European Union. It underscored that Britain faces a torrid time of negotiations -- not just with member states in the EU, but further afield, too. Japan, which has close economic ties with the UK, listed its demands based on requests from businesses in the country. It said; "It is of great importance that the UK and the EU maintain market integrity and remain attractive destinations for businesses where free trade, unfettered investment, and smooth financial transactions are ensured." It's brutal stuff from Japan, and could well lead to other countries making similarly robust demands. On tech specifically, the Japanese government called on the UK and EU, post-Brexit, to maintain cloud agreements between businesses at an international level, by safeguarding the "free transfer of data."

31 of 315 comments (clear)

  1. Meanwhile the EU is saying... by QuietLagoon · · Score: 5, Insightful

    ... invoke Article 50 first, leave, and then we will talk about special trade deals. You voted to leave, so leave already.

    1. Re:Meanwhile the EU is saying... by Baloroth · · Score: 2, Insightful

      I don't follow European news, but I doubt that very much. The UK is ~14% of the total GDP of the EU (second largest in the EU): it dropping out without replacing the existing trade deals would be a massive economic blow to the EU. The EU may want to punish the UK for leaving, but I doubt they'd do it at the risk of collapsing the EU economy.

      --
      "None can love freedom heartily, but good men; the rest love not freedom, but license." --John Milton
    2. Re:Meanwhile the EU is saying... by Anonymous Coward · · Score: 5, Insightful

      The EU are saying "you voted leave, and this period if instability is good for no one, including the rest of the EU".

      Not a bad point, on the whole. I mean, it's almost like we went into a referendum to leave the EU without having any idea about what this means, or any plans to achieve it.

    3. Re:Meanwhile the EU is saying... by gaiageek · · Score: 2

      You can doubt it all you want, but that's what the EU has said simply because that's what EU law says: invoke article 50, then negotiations for exit will take place.

    4. Re:Meanwhile the EU is saying... by TFAFalcon · · Score: 3

      What the other governments are saying is that they want to follow the rules for the exit, which spell out a 2 year deadline. What they want to avoid is endless negotiations, so forcing the UK to actually (legally) declare they are leaving the union before any negotiations begin.

    5. Re: Meanwhile the EU is saying... by BarbaraHudson · · Score: 3, Interesting

      It would not be the end of trade + just the UK having the same tariff barriers imposed on their products as the rest of the world. Many products will then become cheaper to produce inside the EU without those tariffs, so expect a transfer of jobs and production from the UK to the EU. You asked for it, you got it, now deal with it and let it be a lesson to others to look before you keep, and do your own thinking instead of accepting politicians lies uncritically. You really did get the government you deserve.

      --
      "Transparent" is a shit show that trades on every stereotype going. A man in drag is NOT a transsexual.
    6. Re:Meanwhile the EU is saying... by guises · · Score: 2

      Dragging things out makes perfect sense from a British perspective. The longer they wait, the less likely it will actually happen (best case scenario for everyone). If it does happen, then the EU is in a better negotiating position to wait until then to negotiate trade deals. Britain is in a better negotiating position to do it now. So they sit and stare at each other, potentially forever.

    7. Re:Meanwhile the EU is saying... by RandomSurfer314 · · Score: 3, Interesting

      Your post makes no sense. Anyone in Germany can import as much as they want from other EU countries without the German government having any say in it. Unless we're talking about weapons or other restricted goods. Likewise, anybody can export as much as they want to other EU countries without the government being able to interfere with it. That's the whole fucking idea of the common EU market. Government policies have nearly zero effect on this. It's a free market.

    8. Re:Meanwhile the EU is saying... by hey! · · Score: 2

      I don't follow European news, but I doubt that very much. The UK is ~14% of the total GDP of the EU (second largest in the EU): it dropping out without replacing the existing trade deals would be a massive economic blow to the EU

      You're counting your chickens after the eggs have been broken.

      The UK voted its way out of the restrictions that being in the EU. While some sort of arrangement will no doubt be negotiated, it's not going to be anything like the status quo. You can't expect other countries to release the UK from its obligations while still enjoying the benefits those countries have to sacrifice to get. Some form of trade barrier is going to go up between the UK and Europe.

      Likewise you have to expect third party countries to drive hard bargains, because they can. The UK will have a lot of clout for an individual country of its size but less than the collective clout of the EU. The flip side of saying the UK is 14% of the EU GDP is that the remaining EU after Brexit will be over 6x larger than the UK.

      --
      Post may contain irony: discontinue use if experiencing mood swings, nausea or elevated blood pressure.
    9. Re: Meanwhile the EU is saying... by thegarbz · · Score: 4, Insightful

      Congratulations you just described trade barriers. But the interesting part is a that when two major economies who trade with each other each impose tarrifs the net gain is normally zero unless there's a massive imbalance in the trade conditions. This is why for instance trade barriers make sense between Australia and China, but not Australia and New Zealand, as the abolishion of barriers in the later doesn't result in work offshoring.

      Speaking of offshoring 1/3rd of cars sold in the UK last year were German. But no where near 1/3rd of them were made in Germany. BMW, Mercedes etc have factories in the UK to serve the UK market. The effect won't be anywhere near as dramatic as all of the anti-Brexit propaganda is making out, and I say this as someone who's dead set against this idiotic idea of a Brexit.

    10. Re:Meanwhile the EU is saying... by Cederic · · Score: 4, Insightful

      Q1 - Is the British Government sovereign in any and all decisions about how to run the country while in the EU.

      Q2 - Can the UK sustain net immigration each year of 300,000 people, and can this be avoided while staying in the EU?

      Any more questions, because those are the only two that fucking matter.

    11. Re:Meanwhile the EU is saying... by Dishevel · · Score: 2, Insightful

      Is it even possible that some voted to leave because they thought that their country should be run by its own government and not by the EU?
      Every single one of those people are just "morons"? There is no reason at all to want your country run by your laws and nothing else?

      --
      Why is it so hard to only have politicians for a few years, then have them go away?
    12. Re:Meanwhile the EU is saying... by Noryungi · · Score: 2

      I think you are naïve. Some people will want to punish the UK, some may not.

      But it ultimately comes down to this: the British people chose to leave. Fair enough.

      It is now in the interest of the entire EU to negotiate as hard as they can with the UK and get the best deal out of Brexit FOR THE EU. And NOT for the UK.

      Here is a very simple example: why should "we" (I am a European) accept a country where banks and financial institutions run amok and without any supervision? Where these same banks can launder money, trade in Euros, turn a blind eye when oligarchs drop millions of pounds and dollars in discreet numbered accounts?

      What makes you think that the EU is going to respect these banks and allow them to trade freely with the rest of Europe?

      Can you hear that sound? It's the sound of a hundred thousand British bankers crapping their pants at the same time. A true distrubance in the force...

      --
      The right to offend is far more important than the right not to be offended. (Rowan Atkinson)
    13. Re:Meanwhile the EU is saying... by Noryungi · · Score: 5, Interesting

      The EU being unresponsive to the desires of its populations is exactly why the UK left.

      Not on this earth. The UK left because of diffuse and non-concrete fears that large waves of refugees might enter the country, coupled with latent racism against Polish immigrants.

      ... Not to mention 30 years of vicious, ultra-conservative propaganda against the EU. Just like Fox News in the USA is polluting the political discourse with crappy propaganda, the British tabloids have been spewing nonsense about the EU.

      And the fact that both are owned by Rupert Murdoch should tell you a lot...

      --
      The right to offend is far more important than the right not to be offended. (Rowan Atkinson)
    14. Re:Meanwhile the EU is saying... by Cederic · · Score: 3, Informative

      Really? You think the British can outvote 27 other nations?

      On some matters, yes - we have a veto.
      On the rest? No. Multiple times the British Government has been outvoted and forced to adopt legislation it didn't want.

      Negotiations are good. Being unable to walk away and reject the outcome is not. Since the little decisions wouldn't go our way, we took the big one. We're walking away, and we'll make our own law, take our own decisions, and we wont have to negotiate with corrupt cunts in Europe to do it.

    15. Re: Meanwhile the EU is saying... by Cederic · · Score: 3, Insightful

      What would be the point of the former if each party could choose the later? Seriously, the point is to reach a consensus, not get what YOU want.

      erm. Actually yes, the point of negotiation is to get what you want.

      The negotiation is to find common ground so that all parties can get what they want, and everybody's happy. At no point does this presuppose that all parties must agree at the end.

      Haven't you heard the term, "Negotiations broke down..." ?

      Tell you what, I'll buy your car for $4. Lets negotiate - you can probably bargain me as high as $7, but I wont go beyond that.

      Accepting this negotiation outcome? Or walking away? Oh look, reality just intervened.

    16. Re:Meanwhile the EU is saying... by kellymcdonald78 · · Score: 4, Insightful

      I don't think there is anything in wanting this, however to think that it can be achieved without consequence is foolish. The UK in its current form is tightly integrated into the EU and the health of its economy is dependent on trade. The pro-Brexit champions were just as aware of this as anyone.

    17. Re:Meanwhile the EU is saying... by dunkelfalke · · Score: 5, Insightful

      UK has been behaving like a spoiled child throwing a tantrum every time things didn't go their way. Unfortunately the rest of the union has been way too soft to the brits instead of telling them a well-deserved "fuck you".

      --
      "It's such a fine line between stupid and clever" -- David St. Hubbins, Spinal Tap
    18. Re:Meanwhile the EU is saying... by AmiMoJo · · Score: 2

      The EU is saying that the Irish government giving state aid to Apple is not compatible with their EEC treaty obligations. It's like any trade deal, there are rules which both sides agree to. In the case of a free trade deal that usually means that the playing field has to be more or less level, so the state giving assistance to companies is unacceptable.

      China can do it because we don't have a free trade agreement with them. People complained that the EU has "failed" to get a good deal with China, but what they mean is that the EU noticed China would use state aid to, say, dump massive amounts of low price steel or solar PV onto the market and drive everyone else out, and declined to commit economic suicide by removing the only barriers to that (tariffs). Brexiteers seem to have missed the whole TATA Steel thing.

      --
      const int one = 65536; (Silvermoon, Texture.cs)
      SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
    19. Re:Meanwhile the EU is saying... by dave420 · · Score: 2

      OK, let me help you.

      True, the UK can get its own trade agreement with the EU, but if it is going to be even slightly comparable to the one it has now (full, unhindered market access), it will have to cede control of its borders to the EU when it comes to EU nationals immigrating (as this will definitely be a condition of a favourable deal - see other non-EU countries in Europe who trade under agreement with the EU). Non-EU immigration has always been under the control of the UK, and Brexit changes nothing in this regard. Trade deals take years to sort out, and in the mean-time the uncertainty will affect the British economy noticeably.

      Multiculturalism is what made London great, what saved it after WWII, and what's driven it forward since then. Britain without multiculturalism is boring as fuck.

      Open borders are not a disaster, except in the media. All statistics show they have a massive net benefit to all countries involved.

    20. Re:Meanwhile the EU is saying... by Anonymous+Cow+Ward · · Score: 2

      The fact that the EU insists on open borders and completely free movement being a condition of free trade is ludicrous. You shouldn't have to grant an entire country's population the right to live in your country just to trade with them, and you shouldn't have to let people in that other countries with more lax (or different) immigration policies have.

      Multiculturalism can be great, no question. But there has to be some level of shared values between those cultures, and immigrants have to integrate at least somewhat. The rise of cultural enclaves in many parts of Europe is a bad thing, and does not help. Completely open borders are a bad idea when you have a welfare state.

      --
      Examine even your most deeply held beliefs. Nobody is always right.
  2. Japanese focus on Britain by allcoolnameswheretak · · Score: 5, Interesting

    Half of Japan's investments into EU have gone into Britain, seeing as a gateway to the EU. Now they are scared shitless that they have bet on the wrong horse. EU tariffs on cars and other products produced in GB means all those factories were built on the wrong side of the channel.

  3. Re:Leaving the EU was a huge mistake. by mccalli · · Score: 4, Insightful

    I keep reading this 'the old' stuff. Are people aware that these same 'old' will be the people who voted into it in the 1970s? And will, in fact, be the only people who have seen the evolution of the whole situation?

  4. Re:Leaving the EU was a huge mistake. by Anonymous Coward · · Score: 3, Interesting

    Leaving the EU was a huge mistake. The old, who voted for it out of xenophobia, will be dead by the time we will feel the consequences.

    That's what this generation of old people do. This generation - not the previous ones. Previous generations of old people tried their level best to be more like wise elders and guiding lights, repositories of wisdom that the youngers would have been utterly foolish to disregard.

    What you describe in the EU is in the same spirit as what is happening in the USA. Look what the Baby Boomers have done to their grandchildren. In American history they are the first generation to leave their descendants with LESS than they enjoyed. Every previous generation has done its best to leave an inheritance, to ensure their posterity enjoyed a better life than what they knew.

    I don't know if the aftermath and long-term repercussions of WWII just broke their spirits and made them into fearful self-centered short-sighted self-important ever-entitled people, or what, but it's one of the saddest things I've witnessed.

  5. Re:Welcome to the Hotel EuroUnion... by gaiageek · · Score: 4, Insightful

    Angela Merkel, arguably the most powerful of the EU leaders, said there's no need to be nasty to the UK in response to Brexit (i.e. punish them, as you're suggesting). The reality is that the UK will be punishing itself, because it's leaving the club (the EU) and losing the benefits, including free trade with the rest of the EU. This fact alone is enough for any company which had its EU headquarters in the UK to realize they probably need to move to the continent. That's a lot of jobs leaving the country.

  6. Re:Do it for Japan by Barsteward · · Score: 2

    japanese businesses invested in the UK by opening factories, creating jobs etc on the basis of us being a door into the EU market so they are now evaluating that if the status quo or similar is not available, they will move their business to the larger market. pure, practical business sense

    --
    "The hands that help are better far than lips that pray." - Robert Ingersoll (1833-1899)
  7. 100% EU access or your money back! by Jesus_666 · · Score: 5, Informative

    I think Japan's point is that they built a bunch of factories and local headquarters in the UK specifically to deal with the European market. That was the big selling point. With the UK no longer being part of the European market Japan is understandably unhappy. So they give the UK two options:

    1. The UK makes sure that Japan doesn't lose much by staying there. That means trade with the EU must work as if the UK were still a member. That means a huge free trade agreement needs to be secured ASAP.
    2. A lot of Japanese companies will abandon their UK factories and headquarters and build new ones on the continent because staying in the UK is no longer financially sound. The UK loses a whole bunch of jobs and tax income and the Japanese companies lose a whole bunch of sunk money. Nobody wants this scenario.

    Of course scenario 1 is hindered by the fact that the EU isn't keen on making trade agreements with a leaving member before the member has even left. So they're pushing for the UK to just invoke Article 50 already so things can get started.


    tl;dr: Yes, the door is open - for Japanese companies to leave the UK. If you want to avoid that you'll have to convince them that trade with the EU won't be impacted by Brexit.

    --
    USE HOT GRITS WITH STATUE OF NATALIE PORTMAN (NAKED AND PETRIFIED)
    1. Re:100% EU access or your money back! by Kohath · · Score: 2

      Sounds like Japan should send their demands to Brussels then.

    2. Re:100% EU access or your money back! by thegarbz · · Score: 5, Funny

      tl;dr: Yes, the door is open - for Japanese companies to leave the UK. If you want to avoid that you'll have to convince them that trade with the EU won't be impacted by Brexit.

      What! Nigel Farage insisted that the EU was the reason there are no jobs in the UK and that when we're out we will overnight turn into a giant booming manufacturer of world goods! Are you saying he lied? This is Nigel we're talking about! If you can't trust a politician who can you trust!

  8. Re:Leaving the EU was a huge mistake. by Bromrrrrr · · Score: 5, Insightful

    We (the all-wise, all-knowing bureaucrats) also know that consumption of raw milk products is dangerous therefore you (french, italian, spanish, communities that have been making raw milk cheeses are now declared to be WRONG and OLD FASHIONED. And any production of such products will now be ILLEGAL.................

    Of course the fact that no such prohibition exists probably won't stop you from repeating it, will it?

    There are some rules with regards raw milk cheese mainly that it has to be produced in a clean environment and it has to be labeled as being produced with raw milk. All of which seems pretty sensible to me.

    But don't let me get in the way of a nice rant, try using more caps.

    --

    What a rotten party, have we run out of beer or something?
  9. Re:Welcome to the Hotel EuroUnion... by Areyoukiddingme · · Score: 2

    Angela Merkel, arguably the most powerful of the EU leaders, said there's no need to be nasty to the UK in response to Brexit (i.e. punish them, as you're suggesting). The reality is that the UK will be punishing itself, because it's leaving the club (the EU) and losing the benefits, including free trade with the rest of the EU.

    Well that's just the thing, isn't it? If Angela Merkel actually said both of those things, then that was the most threatening non-threat she could have uttered. The free trade deals could be kept intact trivially, by signing a new treaty that incorporates the old deal verbatim. That's the least painful path. Anything other than that gets progressively nastier. "Lose the deals, renegotiate from scratch" is quite far along the spectrum toward the nasty end. The only thing nastier steps over the line between free trade deal and not-free trade deal, and progresses to no-deal.

    How nasty "no-deal" actually is remains to be seen. It will depend on how many and which staples the UK uses that aren't produced in the UK. This is something MI5 had better be scrambling frantically to understand, as the lack of toilet paper has national security implications, as Venezuela is demonstrating.

    That was, after all, one of the stated goals of the union in the first place. It is incontrovertible fact that capitalism tends toward consolidation and eventually monopoly, given no constraints (i.e. free trade). The purpose of free trade is to encourage this process in order to make countries mutually dependent on one another economically, so no one can start another war. UK is sitting at the end of two generations of this process, not really understanding that it has happened and that they need free trade. Without it, there will be very odd price spikes in unexpected things, when it turns out that those things are not made anywhere in the UK. UK does not yet know how nasty things can get.