It has been more than a year since the UK voted to leave the European Union. The exit negotiations are currently under way and scheduled to be completed by March 2019. The United Kingdom and the European Union will no longer be part of a single unit; instead they will be separated by more than just the English Channel. So how will the UK’s exit from the EU affect Bremen?
Bremen is a Hanseatic city, with a long history of trade relations with other nations. More than 50 Bremen-based companies have offices in the United Kingdom, and over 300 regularly do business in the UK. The volume of trade in 2016 was more than €2.5 billion, making the UK Bremen’s third-largest trading partner behind France and the USA.
So far, membership of the EU has kept the bureaucracy of cross-border trade to a minimum. But these commercial benefits may not apply for much longer, and Brexit is likely to have a considerable impact on the import and export business. Cross-border trade could be set to become a lot more complicated.
Here you can find out what the potential consequences of a hard Brexit might be for international trade.
The aviation, automotive and fishing industries in Bremen will be hit particularly hard by Brexit.
Airbus is Bremen’s largest employer in the aviation sector, and the international company’s second-largest production facility is located here. Aeroplanes and production parts worth over €777 million are imported to Bremen each year, putting aviation at the top of the list of goods imported to Bremen. Around €140 million worth of goods are exported to the UK.
Cars and camper vans are Bremen’s biggest export to the UK, at 68 percent. No great surprise, really, considering that Bremen’s ports are among the world’s largest automotive hubs, shipping more than two million cars annually. The world’s largest Mercedes-Benz production facility, based near Bremen, and the surrounding supply industry are major contributors to this.
In 2016 alone, 2,067,938 cars from various manufacturers were shipped around the globe from Bremen’s ports. And it is not just complete cars that are shipped, parts are also exported for local assembly.
You can read how Brexit might affect Bremen’s ports in this article by guest author Günther Hörbst.
A worst-case scenario where the UK is a non-EEA country could involve the loss of jobs in the German fishing industry, as the bulk of Germany’s haul is caught in UK waters. This is only possible because the UK is part of the European Union. Around half of Germany’s total catch could be affected if the UK pushes through its territorial claims in the Brexit negotiations, according to estimates by the German Deep-Sea Fishing Association. North Sea herring, in particular, is caught exclusively in these waters. Also affected are mackerel, Norway lobster and flatfish, of which 50 to 80 per cent is caught in UK waters.
While we may not need to worry about a lack of available fish, in the worst case this could affect jobs.
Welcome to Bremen. 1,213 British nationals have their main residence in Bremen, representing around 1 per cent of the city’s foreign population. Since the Brexit vote, the number of naturalisation applications has increased, from nine in 2015 to 50 in 2016. In the first half of 2017, 41 British citizens applied – a clear sign in favour not only of the EU, but also of life in Bremen.
Fiona Moore, who was born in the UK but now lives in Bremen, has already completed the naturalisation process. In this interview the self-employed translator tells us all about her love affair with Bremen.
And talking of self-employed: any British citizens thinking of becoming self-employed in the EU should act now. As soon as the UK starts to be treated as a non-EU country, the bureaucratic hurdles to start-ups will become more difficult to overcome. Nonetheless, becoming self-employed could be a means for British citizens to remain part of the EU.
Manuel Kühn from the Unternehmensservice Bremen business support agency explains what British expats need to think of when starting up a new business.
Brexit not only affects British citizens living in Bremen, it could also be a reason for UK-based companies to consider opening an office in, or even relocating to, mainland Europe, for example to avoid any increased tax burden. Here you can find out more about the additional burdens that UK-based international companies could face, and how they can prepare for them.
If you are interested in investing in Bremen from abroad, please feel free to contact Andreas Gerber, head of the international relocation team, +49 (0) 421 9600-123, gerber@bremen-invest.com
Andreas Gerber
acquisition and projects
Team leader Bremeninvest
P +49 (0) 421 9600-123
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Formula Student is a world-wide competition for self-built racing cars, with the season’s final race held at Hockenheim. A Bremen-based team has been taking part in the competition with an electric racing car since 2013, and their ambitious goal is to break into the top ten.
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Stathis Stasinopoulos was unable to find the perfect folding bicycle for his commute to work across Athens. So he developed his own. The bike, called ‘Folding Project’, is lightweight and comfortable and folds up in five seconds. This has given Stasinopoulos an unexpected new direction in life.
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Bionics is the application of forms and functions found in nature to technology. Marine biologist Dr Christian Hamm and his team of researchers in Bremerhaven are leading figures in this field thanks to ELiSE. They are particularly interested in the tiny, yet incredibly complex, diatoms – nature’s experts in lightweight construction.
How will Brexit affect the trading of goods between the UK and the EU? Our guest contributor Anja Markmann, who is responsible for customs and international trade law at Bremen Chamber of Commerce, explains what is likely to change from April 2019 onwards.
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For over 15 years, Jacobs University in Bremen has attracted young, talented individuals from all over the world. Students from 106 countries make up a community that contributes to academic achievement and produces graduates that are highly sought after by companies.
Fiona Moore is originally from Burton-on-Trent, near Birmingham, and now works as a freelance translator in Bremen. She fell in love with Bremen in her early twenties. That was back in 2000, but 17 years later she is still as enchanted by the city as she was on the first day. She tells us about settling in Bremen, about her family and about being fortunate to have found a home in here.
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A great deal of manual labour goes into aircraft construction. Despite this – or perhaps even because of it – Airbus is changing its approach to make increased use of digital technologies. It’s also researching the applications of new manufacturing technologies such as 3D printing. And not a moment too soon, as Airbus’ site manager in Bremen, Dr André Walter, explains in our interview.
GeoSea, a subsidiary of the Belgian DEME group, is helping to construct of some of the largest offshore wind farms in the German North Sea – and in Bremen, the company has found the ideal location to carry out its work.
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Companies wishing to access the European market should be careful about their choice of location. Brexit could result in significantly higher financial and tax burdens for UK-based companies. Under these circumstances, setting up a base on the continent might be a better option. Find out what challenges companies will be facing.
Environmentally friendly manufacturing and ethical standards are the principles on which the fair trade clothing sector is based. Leela Cotton, a successful German-Turkish textile company, produces clothes for children and adults that are not only stylish, but also make a positive contribution to the environment in the way they are manufactured.
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Three continents, four countries, and Bremen at the centre of it all – a start-up could hardly be more international. The young entrepreneurs Ahmed Cheema and Stefan Kuzmanovski want to make sustainable manufacturing and the use of ethically sourced materials standard practice.
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Bremen has been twinned with the city of Dalian in north-eastern China since 1985. Find out more about the similarities and connections that the two port cities share.
Up to now, cricket has been very much a niche sport in Germany. But that is changing. In Bremen, a woman is calling the shots in this male-dominated sport – with great success. Her men’s team are the 2016 German cricket champions.
Wearables and smart glasses provide hands-free digital information. A visit at the headquarter of the global market leader for Industrial Wearable Computing, Ubimax in Bremen.
In 2016, companies invested a combined total of €229 million in the federal state of Bremen. Where do these investors hail from, how many jobs have they created, and what is their line of business? Our infographics provide an overview.
How will the UK’s impending exit from the EU affect the logistics sector? Günther Hörbst, Managing Director of the Via Bremen Foundation, on the economic links between the United Kingdom and the EU
The Chinese designer Haoyu Li combines his German design degree with Chinese business acumen. Now he is opening a design office in Bremen, with the aim of making it easier for Chinese products to enter the German market, and to bring German brands to China.
Keen to remain in Bremen? Then why not combine residency status with self-employment? Manuel Kühn from Bremeninvest’s welcome service knows all about how a start-up could allow British citizens to beat Brexit and kill two birds with one stone.
From initial idea to successful move. Andreas Gerber, who heads up the international relocation team at Bremeninvest, knows what international companies need to do to set up a business in Bremen. Here he tells us about the most important steps on the ...
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Permits and authorisations, a mountain of applications and a language barrier too. These are just some of the difficulties you face when starting a business abroad. Luckily, an advice centre opened in Bremen in early 2015 that can help you through the jungle: Bremeninvest’s welcome service.
Geographical distance and cultural differences make it hard to relocate or start up a company in another country. Luckily, help is at hand from the team at the World Trade Center (WTC) in Bremen. They'll do all they can to make your international business a success.
In December 2016 ministers from the European Space Agency (ESA) member states met to determine the roadmap for the European space sector for the years ahead. Baden-Württemberg, Bavaria and Bremen submitted joint recommendations. In the following interview Dr Peter Vits, Bremen's State Coordinator for the Space Sector, talks about Bremen's strengths and opportunities.
The sky is not the limit, at least not in Bremen. All parts of the aerospace sector are represented in the city, from R&D to production. Aeroplane wings, Ariane rockets and Galileo satellites – Bremen is one of the leading locations in the international aerospace industry. Here are five factors behind Bremen’s story of success.
In 2015 Bremen won the right to host the International Astronautical Congress for the second time, after having successfully held the event in 2003. Its bid was the result of a collaboration between the Bremen regional government and Bremen’s space industry and space research sector. Event partners include the Federal Ministry for Economic Affairs and Energy and the German Aerospace Centre.
The Bremen region has long been a pioneer in electric mobility and is now set to enjoy further success after Mercedes-Benz and Borgward announced that they will be making electric vehicles in the city.
Bremen knows how to make cars: the Mercedes-Benz plant by the Weser river has been in operation for almost 40 years, is the focal point of the city’s automotive industry and automotive clusters, and is now the company’s biggest global facility in terms of vehicle production numbers. Reason enough for an ever-growing number of suppliers and logistics firms to base themselves in Bremen.
For 30 years, the Cargo Distribution Centre in Bremen has delivered excellence – as an investment location and a logistics hub. Today more than 150 companies employing approximately 8,000 people are based at the site. It offers direct links to the ports, the autobahn and has a close proximity to Bremen City Airport.
Language barriers, unfamiliar legal and fiscal systems, qualifications that need to be recognised. There are many additional hurdles that entrepreneurs have to overcome when setting up a new branch or a new company in a different country. Bremeninvest is committed to offering you advice and support from the outset.
You might expect a Bremen-based company specialising in innovative instruments and implants for spinal surgery to be located at the Technology Park. But you'd be wrong. NuVasive Germany GmbH has its head office at the heart of the city centre next to Wallanlagen Park. Now employing a team of 44 people, the company generates annual revenue of more than €10 million – a figure that looks set to rise.
David Zhou came to Bremen three years ago with the aim of conquering the market – and a new continent – with LEDs. He started his business selling LED lighting and electronics at the World Trade Centre at Bremen Airport and has gradually built it up over the past few years.
What makes an aircraft fly? You don't have to be an aerospace expert to be fascinated by what goes on behind the scenes at one of the largest aircraft construction companies in the world. The Airbus Group in Bremen turns the dream of flying into ...
