Negotiations on a trade agreement between the United Kingdom and the European Union are ongoing. They should be completed before the end of the year, since the Brexit transition period expires at the end of 2020. But nothing is certain and the interim period, which is valid until a treaty is concluded, could also be extended.

Switzerland and the UK have signed a specific agreement, valid at the end of the transitional period, which will establish the basis for international transport between the two countries. Its implementation, however, depends on the EU granting transit rights, since land transport between Switzerland and the UK is only possible via EU countries.

Three scenarios can be considered:

• The negotiations succeed – Switzerland would then in all likelihood be treated by the UK as an EU member state, according to terms that remain to be defined.
• The negotiations fail – If this is the case, trade will be governed by World Trade Organization (WTO) rules, synonymous with customs duties and time-consuming steps to export and comply with respective standards.
• The interim period is extended – The land transport agreement concluded between Switzerland and the EU will remain applicable to the UK and subject to the conditions in force before Brexit, including in particular reciprocal market access, the ban on cabotage in Switzerland, the 40-tonne limit and the ban on driving at night and on Sundays.

Whatever the outcome, the negotiations underway will have an impact on how we operate. At SAFRAM, we have therefore been preparing for months to be ready to face all eventualities, adapt to the uncertainties of the time and meet the requirements of our customers and partners. One of the main preventive measures we have adopted is to expand our storage areas:

• Aylesford (UK, 50 km from Dover): Increased reception capacity for 600 pallets,
• Geneva (Switzerland): New storage area with an additional 1200 m² near our Satigny site,
• Erkrath (Germany, near Düsseldorf): Storage area increased by an additional 1500 m²,
• Bordeaux (France): New 700 m² storage area,
• Grasse (France): Development of our premises with the possibility of storing goods under controlled temperature.

The SAFRAM group’s Brexit Task Force is monitoring the situation closely. It has drawn up different scenarios to implement according to the decisions taken in London and Brussels.

We also remind you that SAFRAM (France, UK and Switzerland) are Authorized Economic Operators (AEO certified), which secures the international logistics chain and facilitates international trade. SAFRAM UK has also obtained ETSF (External Temporary Storage Facility) customs status, which means that the customs declaration and payment of duties and taxes can be postponed until the end of the storage period agreed for our customers’ goods.

KEEP CALM AND TRUST SAFRAM !