So, deal or no-deal? I'm afraid it looks gloomy. Too many outstanding issues, a political context that is not conducive to compromise, and a tunnel leaking like mad. Quite possibly forming between them a vicious cycle. So, is this it? I suspect not... 1/n

Recall, this UK-EU negotiation is attempting to put in place an agreement unusually extensive (haulage, aviation, security, as well as trade) in a record timescale (9 months start to implementation) at a time of pandemic. That was always optimistic. 2/
A process driven EU against a naive yet overconfident UK in a short timeframe was also never going to be easy. In particular the UK's sole evident negotiating strategy, to say we'll walk away, is still in overdrive, making compromise harder. 3/
On the up side the UK has been inching slowly away from the purist notions of sovereignty which would prevent any deal towards a more realistic haggle over details, but possibly too late to resolve them, barring unexpected deep late concessions from either side. 4/
Geography isn't changing, and trading more with neighbours isn't either. Virtually all countries in the world have deals with their neighbours. It is unrealistic for the UK to be the sole developed country exception. Even if it takes a while. 5/
Right now the politics is 'blame the French' on one side and 'don't trust the Brits' on the other. As I said, not conducive to deep compromises. The only real chance is to agree you don't trust each other, but would trust each other less without a deal. Which isn't great. 6/
But apart from petulance, why walk away? The EU don't, ever. However improbable a deal appears (hello India!). Why should the UK do so? As we've just seen, we need to talk with neighbours. And you can be not scared of no-deal and still prefer a deal. 7/
Time, as Brexit threadmeister @pmdfoster often says, for cool heads. A lot has been agreed. But negotiating teams are now tired and probably pretty grouchy. Member states, MEPs, MPs, all concerned about what might be agreed. No time to implement properly anyway. 8/
Yes, deal if we can today. But if we can't, far better for the two sides to take a pause, get ready for January 1, and come back with some renewed energy (and knowledge of why we need a deal). Yes it will be messy. But it will be anyway. Trying to be civil will really help. 9/
Throughout these talks we hoped for some kind of outside intervention to overcome fundamental differences. It hasn't happened and is probably still needed (hello Biden?). But the two sides have come through a lot. If they can't complete, at least don't throw it away. 10/10

More from David Henig

We need to talk about UK politics. More specifically we need to talk about the absence of opposition to a no-deal Brexit risking Scottish independence, Northern Irish peace, the end of the mass market car industry, more expensive food, and damaged relations with US and EU 1/n


Project fear and the red wall. The first meaning that every serious threat, such as that of Nissan that their plant will be unsustainable, is dismissed with little discussion. The red wall, apparently so angry with Labour about the EU they are afraid to have a position. 2/

Because 'sovereignty' apparently. But a particularly nefarious form of sovereignty in which the normal kind of things you discuss in a Free Trade Agreement - shared rules, access to waters - become when discussed with the EU unacceptable infringements and threats. 3/

You note in the UK we aren't having a discussion on what level playing field rules or access to fishing waters might be acceptable. Or normal. Or even what we might want, like shared increased commitments on climate change. No, all rumours. Evil EU. Worse French. 4/

Those who follow closely see incredible briefings in the papers, like today claiming the EU demand for raising minimum shared standards was only raised on Thursday, treated as fact. This was known months ago. But the media too often just reports the spin as fact. 5/
Not the easiest to follow, but for those interested in the big picture of trade relations between US, EU and China this exchange between @alanbeattie and @IanaDreyer is an essential read. Real debate on key issues, and good points on both sides.


Also reading this from @gideonrachman on EU-China. My view (cynically?) - that EU-China is a deal that makes a lot of sense given a probably unresolvable trade policy superpower triangle with the US, and best for the EU to move while China will.

The US and EU roughly agree on China that it should do some things differently, but not really the details of what those are. Meanwhile the EU and US have long standing trade policy differences, which neither (or their key stakeholders) prioritise resolving.

For the EU, the China deal has sent a message to the new US administration, you can't just tell us what to do. And delivered some (probably marginal in reality) benefits to business. For China, this is the 3rd deal with EU or US in 12 months. Pretty clear strategy there.

The key assumption that lies at the heart of too much writing on EU-US relations is that the two should cooperate on trade. After 25 years of largely failing to do so, I'd suggest we might want to question that a bit more deeply.

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