Your Monday morning coffee briefing from TFG. Here are some of the last week’s updates from the trade sector. The UK economy shrank by 0.2% between April and June. Pakistan suspended trade with India over the territory of Kashmir. From the tech sector: IBM launched the new block-chain network “Trust your supplier” and Standard Chartered completed the first cross-border Letter of Credit blockchain transaction in the oil industry.
What happened last week?
Office of National Statistics: UK economy shrinks for the first time since 2012
The surprise decline came after Brexit stockpiles were unwound and the car industry implemented shutdowns. The pound sank after the data was released, raising fears of a recession. Against the dollar, sterling fell to $1.2025. Against the euro, it dropped throughout the day to €1.0736, a level not seen since the global financial crisis a decade ago. Read more →
German Mittelstand warns against ‘dangerous’ no-deal Brexit
The German Mittelstand is facing a “big danger” from a no-deal Brexit as “intense and trustful business relationships” with British companies are put into jeopardy, industry leaders have warned. Read more →
Pakistan suspends trade ties with India over Kashmir
Pakistan said Wednesday it was downgrading its diplomatic relations with India after New Delhi stripped the Indian state of Jammu and Kashmir of its special status. Read more →
Trust Your Supplier: New Blockchain Network Launched by IBM
The new network, Trust Your Supplier (TYS), combines IBM’s industry experience with Chainyard’s product capabilities to help eliminate some of the cumbersome, manual supplier management processes that exist today. Read more →
Commerzbank tests blockchain-based machine-to-machine payment solution for the first time
The pilot successfully demonstrated that both charging and subsequent payment processes can be performed fully automatically and without any human interaction. Over the short term, this may lead to efficiency gains in logistic chains while also leveraging considerable potential as vehicle automation increases. Read more →
Standard Chartered completed the first cross-border Letter of Credit blockchain transaction in the oil industry
“This pilot transaction marks the first of many that will follow from our participation with Voltron to digitise trade and enhance the client journey,” said Samuel Mathew, Global Head, Documentary Trade Product Management at Standard Chartered Bank. Read more →
Only three in 10 exporters ready for no-deal Brexit
Fewer than three in 10 British exporters will have the necessary documentation in place if Britain leaves the EU without a deal, according to Treasury figures. 245,000 businesses will require an EORI number to export to the EU in the event of a no-deal Brexit. Since December 2018, 66,000 companies have applied for the number. Read more →