Brexit, marked by the UK’s 2021 exit from the Single European Market and Customs Union under the Trade and Cooperation Agreement, offers a unique case of reversing deep economic integration. The reintroduction of non-tariff barriers disrupted UK-EU trade, particularly in the GVC-sensitive textile and apparel (T&A) sector. Using survey data from 1,008 UK firms, this paper explores firm-level consequences, strategic responses, and value chain adjustments. Findings reveal that Brexit severely affected T&A firms and their upstream and downstream linkages. Physical barriers were the most disruptive, driving firms to adjust suppliers, products, and locations. Consequences varied by firm type, with widespread calls for barrier reduction and stronger government support.
The ‘cost of undoing Europe’: Brexit and the UK textile and apparel industry
Iammarino, Simona;
2026-01-01
Abstract
Brexit, marked by the UK’s 2021 exit from the Single European Market and Customs Union under the Trade and Cooperation Agreement, offers a unique case of reversing deep economic integration. The reintroduction of non-tariff barriers disrupted UK-EU trade, particularly in the GVC-sensitive textile and apparel (T&A) sector. Using survey data from 1,008 UK firms, this paper explores firm-level consequences, strategic responses, and value chain adjustments. Findings reveal that Brexit severely affected T&A firms and their upstream and downstream linkages. Physical barriers were the most disruptive, driving firms to adjust suppliers, products, and locations. Consequences varied by firm type, with widespread calls for barrier reduction and stronger government support.| File | Dimensione | Formato | |
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