The UK continues to have a split opinion over Brexit, with a high degree of uncertainty and a regularly changing political landscape; therefore, you should be assured that REMET is planning for the worst case and will continue its current strategy to mitigate and avoid the business risks associated with the UK leaving the EU. These actions include
- During 2018 registering a Eurozone entity in Germany, REMET GmbH. We are currently completing the final due diligence with the banking and tax authorities to trade commercially. This company will in the first place provide an EU based organisation from which to trade if considered beneficial to our supply chain.
- REMET will be phasing an increase in stock levels across EU warehouses. In Eastern Europe, we shall continue to increase and exploit our European stockholding in our Bratislava warehouse.
This will relieve the potential problems that is foreseen importing to the EU, especially over the critical transition period occurring both before and immediately after the end of March 2019. It is considered that during this period there could be the most pressure on the supply chain with delays possible. Therefore, I urge you, where possible to help us by providing a forward plan of production demand such that we can best plan to manage our deliveries to you.
- Reviewing our compliance with REACh legislation. Some have raised specific concerns regarding the validity of pan-European legislation such as REACh. Whereas there is a plan by the UK government to leave EU Law on separation, in all REMET cases REMET is fully compliant with REACh. It is considered that there is little risk associated with this legislation and Brexit.
As a measure of the confidence expressed in REMET a number of pan European Casting Groups continue to invest in REMET ‘s superior materials technology and are reassured of our contingency planning over this Brexit transition period.
However, we understand that a number of organisations could be trying to exploit the current situation by spreading unsubstantiated concerns over tariffs, customs duties and trade embargoes. REMET considers this ill-informed scare-mongering as none of these subjects have been mooted by either the European Commission or the UK Government. Should there be any changes then we will keep you informed and most importantly, manage our supply chain accordingly.
Here you can download a full copy of this Brexit statement, including our abridged Risk Mitigation Plan, which you can review, and I hope will answer any further questions.
I hope your immediate concerns are addressed and enquiries answered. However, if you have any further questions I would be pleased to answer them.
Chief Operating Officer
Remet UK Ltd