Global Britain Briefing Note | ||
No 13 | 2nd March 2001 | |
Currency of Invoicing for UK Exports: New official data shows that the US Dollar is more than twice as important to British exporters of goods as a currency of invoicing than the Euro. |
In May 2000 Global Britain published research demonstrating that at least 60% of British exports world-wide (including not just goods but services and investment income receipts as well) are Dollar-linked, the linkage arising because those exports go to Dollar-linked countries or Dollar-linked industries or both.1 A new survey by HM Customs & Excise (summarised in Table 1 below) on British exporters’ currency of invoicing2 confirms the importance of the role of the US Dollar in British overseas trade of goods, which account for less than half of total British exports. (Table 2 below). |
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British Exports
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British Imports
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Conclusion Historically, Dollar/Euro (and before that Dollar/DM) exchange rate volatility has been substantially greater than that of Dollar/Sterling. If the Euro were ever to replace Sterling, and if the high volatility of the Dollar/Euro exchange rate were to persist, the consequence would be:-
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Websites:HM Customs & Excise: www.hmce.gov.ukOffice for National Statistics: www.statistics.gov.uk |
Enquiries: Ian Milne (Director) Global Britain, PO Box 38520, london, SW1E 5YT |
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Email: |
Tel: 020 7630 0126 | Web: globalbritain.org |
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Lord Stoddart of Swindon | - | Lord Harris of High Cross | - | Lord Pearson of Rannoch |
(Labour) | (Independent) | (Conservative) |