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Rob Oliver, CEO of the Construction Equipment Association (CEA)

The Construction Equipment Association (CEA) has raised concerns over the latest Brexit negotiations, which appear to show the UK government willing to leave the European Union (EU) with no formal trade deal in place.

The association says the “Australia-style deal” that the government seems prepared to accept is merely ”a synonym for a ‘no deal’” exit, the result of which will be the UK trading with the EU on World Trade Orginaziation (WTO) terms.

The CEA says this diminishment of trade relations will result in damaging tariffs for the automotive and agricultural sectors and, ultimately, instability within manufacturing supply chains that service the construction industry.

CEA chief executive, Rob Oliver, said, “We continue to stress to government that the well-being of UK construction equipment manufacturing is linked with that of manufacturing as a whole.

“Tier 1 suppliers and below often supply to the car and agricultural machinery sectors – and even the aerospace industry. When one sector is in trouble it can cause a ripple effect.

“With the diminishing prospect of the free trade agreement, we were promised then the rationale for investing in UK manufacturing comes under pressure.

“With the continuing spectre of Covid-19 still affecting all businesses, we are coming to a watershed moment for our industry”.

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