Europe Headquarters Of Sony To Be Moved Out Of UK Because Of Brexit

In order to escape any disruptions that could happen because of Brexit, Japanese electronic firm Sony has decided to shift its European headquarters away from the United Kingdom to the Netherlands.

According to the company, this would help it to bypass any issues related to customers after the UK leaves the European Union in March this year. However, Sony has confirmed that none of the personnel and operations would be shifted by it from its current UK operations.

Sony is the latest Japanese company to announce a shift of operations out of the UK because of Brexit.

Earlier in the week, the announcement to shift its headquarters from Malmesbury in Wiltshire, UK, to Singapore was announced by appliance maker Dyson. The company however said that the decision had nothing to do with Brexit.

Come March 29, the UK would be officially leaving the EU. And even though the date for the divorce comes near, the uncertainties surrounding Brexit are at their height after the rejection of a Brexit deal proposed by the Theresa May government of the UK was voted down at the UK parliament. The deal presented by May had been approved by the EU as conditions for the UK leaving the common customs block.

Concerns over a no deal Brexit were recently expressed by Japanese Prime Minister Shinzo Abe in a recent trip to the UK.

He had said that an unruly Brexit would hit Japanese companies in the UK which employ over 150,000 people in the country.

The move would mean “we can continue our business as usual without disruption once the UK leaves the EU. All our existing European business functions, facilities, departments, sites and location of our people will remain unchanged from today,” Sony said in a statement.

The decision of shifting its European head    quarters would make Sony a “company based in the EU” and therefore the European operations of Sony would be governed by the common customs procedures even after the YK leaves the EU, said Sony spokesperson Takashi Iida.

The European headquarters of Sony’s rival Panasonic has already been shifted from the UK to Amsterdam primarily because of issues of taxation that it would be subject to after completion of Brexit.

There would be very little impact of the shifts on jobs in the UK, both Sony and Panasonic has said.

“Fewer than approximately 10” people would be affected out of a staff of 30, Panasonic had said when it announced the shift.

Plans to move their European bases out of London has already been announced by some of the other Japanese companies including Daiwa Securities and Sumitomo Mitsui Financial Group.

Concerns over a hard Brexit have also been expressed by a number of Japanese carmakers.  Investments would be affected by a no-deal Brexit, Toyota has said adding that there would be a temporary halt in the production at its plant in Burnaston. A six day halt in April has already been planned by Honda when which would be used by the company to plan for “all possible outcomes caused by logistics and border issues”.

(Adapted from BBC.com)

In order to escape any disruptions that could happen because of Brexit, Japanese electronic firm Sony has decided to shift its European headquarters away from the United Kingdom to the Netherlands.

According to the company, this would help it to bypass any issues related to customers after the UK leaves the European Union in March this year. However, Sony has confirmed that none of the personnel and operations would be shifted by it from its current UK operations.

Sony is the latest Japanese company to announce a shift of operations out of the UK because of Brexit.

Earlier in the week, the announcement to shift its headquarters from Malmesbury in Wiltshire, UK, to Singapore was announced by appliance maker Dyson. The company however said that the decision had nothing to do with Brexit.

Come March 29, the UK would be officially leaving the EU. And even though the date for the divorce comes near, the uncertainties surrounding Brexit are at their height after the rejection of a Brexit deal proposed by the Theresa May government of the UK was voted down at the UK parliament. The deal presented by May had been approved by the EU as conditions for the UK leaving the common customs block.

Concerns over a no deal Brexit were recently expressed by Japanese Prime Minister Shinzo Abe in a recent trip to the UK.

He had said that an unruly Brexit would hit Japanese companies in the UK which employ over 150,000 people in the country.

The move would mean “we can continue our business as usual without disruption once the UK leaves the EU. All our existing European business functions, facilities, departments, sites and location of our people will remain unchanged from today,” Sony said in a statement.

The decision of shifting its European head    quarters would make Sony a “company based in the EU” and therefore the European operations of Sony would be governed by the common customs procedures even after the YK leaves the EU, said Sony spokesperson Takashi Iida.

The European headquarters of Sony’s rival Panasonic has already been shifted from the UK to Amsterdam primarily because of issues of taxation that it would be subject to after completion of Brexit.

There would be very little impact of the shifts on jobs in the UK, both Sony and Panasonic has said.

“Fewer than approximately 10” people would be affected out of a staff of 30, Panasonic had said when it announced the shift.

Plans to move their European bases out of London has already been announced by some of the other Japanese companies including Daiwa Securities and Sumitomo Mitsui Financial Group.

Concerns over a hard Brexit have also been expressed by a number of Japanese carmakers.  Investments would be affected by a no-deal Brexit, Toyota has said adding that there would be a temporary halt in the production at its plant in Burnaston. A six day halt in April has already been planned by Honda when which would be used by the company to plan for “all possible outcomes caused by logistics and border issues”.

(Adapted from BBC.com)

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