Japanese Companies Launching Full Brexit Preparations

Politics Economy

Tokyo, Dec. 16 (Jiji Press)--Japanese companies operating in Britain are launching full preparations for its withdrawal from the European Union, after the pro-Brexit Conservative Party's election win.

Britain's parliament is likely to see smooth progress in procedures toward Brexit, Takeshi Minami, chief economist at the Norinchukin Research Institute said of the Tory victory that all but ensures that Britain will leave the EU at the end of January next year.

"We can head in a clear direction," ANA Holdings Inc. <9202> President and Chief Executive Officer Shinya Katanozaka said in a press conference Friday.

But Japanese companies are still concerned that a failure for Britain to secure a trade deal with the EU during the roughly one-year transition period may result in a de facto no-deal Brexit.

"It is possible that Britain and the EU will not reach a deal during the transition period," Minami said.

[Copyright The Jiji Press, Ltd.]

Jiji Press