Commerce, investments, jobs: an outline of the necessary financial relations between France and the UK.
The French and British flags in Bayeux, June 6, 2019. (AFP / BERTRAND GUAY)
o FRANCE'S FIRST COMMERCIAL SURPLUS
France exports extra (in worth) to the UK than it imports. And it’s even the nation with which the hexagon has the biggest bilateral surplus: 12 billion euros in 2018 , based on the most recent annual information out there from Bercy.
In 2018, France exported 32 billion euros throughout the Channel. This represents just below 7% of French exports , which makes the UK the fourth European vacation spot for French exports, behind Germany, Italy and Spain. These figures imply that “the French economic system is (…) very uncovered to financial developments throughout the Channel,” estimated the Institute for Public Coverage (IPP) in a word printed in December.
On the import facet, the French purchased items and companies for 20 billion euros from the British in 2018. The UK is France's eighth largest provider. The steadiness of commerce in companies additionally tilts in favor of France, with a 6.7 billion surplus, primarily due to journey exports.
o TRANSPORTATION AT THE HEAD OF EXCHANGES
By enterprise sector, that of transport gear tops French exports to the UK (roughly 18%), together with planes, automobiles, vans and automotive gear. Subsequent come machines, chemical substances, together with medicine, and the meals business.
The UK is thus France's third outlet for agricultural merchandise, this market representing 15% of French gross sales, together with a big a part of luxurious merchandise. (wines, champagnes, cognac, and so forth.) “not very delicate to attainable customs duties”, estimated French Customs in a examine printed final April. Observe that in 2017, jewellery alone represented three.7% of French exports to the UK, based on information from the OEC (Observatory of financial complexity).
Within the different course, France “is a big recipient of British aeronautical exports on behalf of European manufacturing”, based on Customs, forward of the chemical and pharmaceutical sectors.
o RECIPROCAL INVESTMENTS
The UK was the third overseas investor in France in 2018 , with 118 direct funding tasks, representing round 2,500 jobs, behind the US and Germany. Conversely, France is the eighth overseas investor in the UK, with 94 tasks representing 6,000 jobs, based on figures from the Directorate Common of the Treasury.
In 2016, the UK was the second nation of firm of French firms overseas. three,800 subsidiaries of French teams are situated there and characterize round 120 billion euros in annual turnover and greater than 400,000 jobs. On the identical time, 1,200 subsidiaries of British teams are current in France. They characterize annual turnover of 34 billion euros and 88,000 jobs.