ON AIR NOW

LISTEN NOW

Weather

cloudy-day
65°
Showers
H 82° L 67°
  • cloudy-day
    65°
    Current Conditions
    Showers. H 82° L 67°
  • rain-day
    79°
    Afternoon
    Showers. H 82° L 67°
  • clear-night
    74°
    Evening
    Clear. H 82° L 67°
LISTEN
PAUSE
ERROR

The latest newscast

00:00 | 00:00

LISTEN
PAUSE
ERROR

The latest traffic report

00:00 | 00:00

LISTEN
PAUSE
ERROR

The latest forecast

00:00 | 00:00

Business
Economists: Hard Brexit would hit German auto industry hard
Close

Economists: Hard Brexit would hit German auto industry hard

Economists: Hard Brexit would hit German auto industry hard
Photo Credit: AP Photo/Markus Schreiber, file
FILE - In this Aug. 1, 2017 file photo the car marques badge of Volkswagen, VW, is photographed on a car in Berlin, Germany. Economists at the Halle Institute for Economic Research issued a report Monday Feb. 11, 2019, saying a no-deal Brexit would affect more than 100,000 jobs in Germany that depend on trade with Britain, with the auto industry hardest hit. (AP Photo/Markus Schreiber, file)

Economists: Hard Brexit would hit German auto industry hard

A no-deal Brexit could affect more than 100,000 jobs in Germany, and regions of the country with Volkswagen and BMW factories would be among those worst hit, according to economists at a prominent nonprofit institute.

The economists from the Halle Institute for Economic Research said Monday they modeled what would happen if imports to Britain from the remaining European Union countries fell 25 percent due to the absence of a negotiated trade agreement when Britain leaves the EU. ,

After calculating the effects — in theory — on 401 German regions, the researchers found the auto industry would be the sector most affected. They said the city of Wolfsburg in northcentral Germany, where Volkswagen is headquartered, was one of the places that would see the most jobs affected. So would the Dingolfing-Landau region in southern Bavaria, where BMW has manufacturing facilities.

Another region that would be hit is the Maerkischer Kreis region in western Germany, where there are many export-oriented small and medium-size firms.

The authors, Hans-Ulrich Brautzsch and Oliver Holtemoeller, cautioned the figures do not predict the precise numbers of people who would be laid off. Companies could put workers on shorter hours or find other markets.

Still, "a hard Brexit would disrupt global value creation chains," Holtemoeller said in a statement accompanying the report. "Therefore, an exit by Britain from the EU without an agreement could mean significant losses in well-being. From the economic point of view, it must be hoped that an agreement is reached."

British Prime Minister Theresa May has been unable to win a majority in parliament for a negotiated agreement setting out the terms of Britain's departure from the EU, which is set to take place on March 29.

Unless lawmakers approved a deal or the withdrawal date is pushed back, customs duties would be levied on Britain's imports from and exports to the 27 remaining nations in the free-trade bloc.

Part of the institute's reasoning for saying autos would be the German sector that suffers most is a no-deal exit would mean 10 percent import duties on cars and car parts, according to the Halle report. The duties would add costs and hassles to trade, and increase prices for imported goods to consumers.

The German auto industry has some 15,000 jobs related to trade with Britain, or about 0.9 percent of total employment in the sector, according to the report.

Read More

The Latest Headlines You Need To Know

  • A loaded gun was brought inside a Pittsburgh elementary school Monday, officials said. >> Watch the news report here WPXI-TV reports that the weapon wasn't found until after school, when another student told a bus driver that someone had a gun. Children are not required to go through the metal detectors at Pittsburgh Faison Elementary School in Homewood, but a district spokesperson told WPXI that there are going to be changes in security measures starting Tuesday morning. >> Read more trending news  The kindergarten student had the loaded gun, with the safety on, in his backpack, inside his locker. Officials told WPXI that parents got a notice from the district's phone system. WPXI is working to find out if the child's parents will be charged.
  • Razor blades have been found under the handles of shopping carts at a Walmart store in North Carolina, police said. >> Watch the news report here The blades were found at the store in Siler City, about 35 miles south of Greensboro, WSOC-TV reported. Two people reportedly have been hurt. Siler City police are seeking two people of interest, both described as white men in their 30s. Police said the men were seen in a tan Chevrolet Suburban or GMC SUV. >> Read the full descriptions here >> See the surveillance photos here – The Cox Media Group National Content Desk contributed to this report.
  • A skyride malfunctioned Monday night at SeaWorld San Diego, initially stranding nine adults and seven children – including an infant. Here are the latest updates: Update 11:26 p.m. PST: Rescue workers have saved all 16 people who were trapped on the Bayside Skyride at SeaWorld San Diego, the San Diego Fire Department tweeted late Monday. >> See the tweet here Original story: A rescue is underway at SeaWorld San Diego after a skyride malfunctioned Monday night, initially stranding nine adults and seven children – including an infant. >> See a photo from the scene here >> Read more trending news  As of 10:30 p.m. PST, crews had rescued 14 people from the Bayside Skyride, which stalled when heavy winds 'tripped a circuit breaker' more than three hours earlier, KSWB reported. Two people were still trapped on the ride's gondolas, the San Diego Fire Department said. >> See the tweet here KSWB said some of the gondolas were over Mission Bay when the ride stopped working. Those trapped were 'lowered by harnesses & rescued by [San Diego Lifeguards] boats,' the Fire Department tweeted. Read more here.
  • A University of Central Florida employee suffered burns Monday after a chemical reaction, according to Orange County Fire Rescue officials. Firefighters were called to 3512 Perseus Loop Lane near the Facilities Operations building on UCF's campus around 3 p.m.  The 29-year-old who was the only person in the building at the time, and was transporting the chemicals when a static discharge sparked a fire.  He was taken to Orlando Regional Medical Center with burns to his face, arms and chest according to responding firefighters.  A university spokeswoman said the incident happened in a building on campus that is designed to handle chemicals and no students were involved in the incident or ever in any danger.  The worker's name was not released. Mike Jachles with OCFR said he was conscious and alert when he was taken to Orlando Regional Medical Center.
  • Four days after the announcement of a series of executive actions to fund his signature border wall, President Donald Trump’s administration still needs to fill in the details on his plans to shift over $6.6 billion from the Pentagon and Treasury Department into funding border security, as members of Congress continue to wonder if the move will dig into their local military base construction projects. On Capitol Hill, lawmakers and their staffs were awaiting guidance on where the Pentagon would look for money in the $3.6 billion sought by the President in his emergency declaration from military construction projects, which was already the subject of new lawsuits. “Congress has not enacted any emergency legislation even remotely related to border wall construction, and thus the President’s reallocation of funds is unlawful,” read a suit filed against the President and Pentagon by several environmental groups. In a letter to the Acting Secretary of Defense, Sen. Tim Kaine (D-VA) asked for a breakdown of which projects would be put on hold – as under the ‘national emergency’ law used by the President, the Pentagon would make those decisions – not the Congress. Congress approved $10.3 billion for military construction in Fiscal Year 2019 – the $3.6 billion sought by the President would be more than one-third of that amount – which has drawn expressions of concern from lawmakers. As Kaine noted in his letter, the move to shift money from military construction comes at a time when the Pentagon already was having to deal with hurricane damage at two major domestic bases – Camp Lejeune for the Marines in North Carolina, and Tyndall Air Force Base in Florida. Tyndall was seriously damaged by Hurricane Michael in 2018 – and despite support for rebuilding the base, Congress has not yet acted on extra money for the Pentagon – or on broader hurricane relief for those hit in Florida and Georgia. During the partial government shutdown, Democrats in the House approved a bill which had $12.1 billion in disaster aid, both for hurricanes and wildfires – but that bill does not seem to be on the agenda in the U.S. Senate at this point. @DrNealDunnFL2 Dr Dunn, we are hearing here in the Panhandle that Trump is going after Tyndall rebuilding money for his wall. Please don’t let this happen! No Tyndall would be catastrophic to our area. Please help! — Billy Shears (@BillyShears9) February 14, 2019 The Commandant of the Marine Corps said over the weekend that he needs $3.5 billion just for repairs at Camp LeJeune from damage caused by Hurricane Florence in September of 2018 – which is equal to the figure of how much in military construction the President wants to shift into a border wall. Earlier this month, Air Force officials said they planned to spend $3 billion to rebuild Tyndall, which was flattened by Hurricane Michael in October of last year. House Democrats say they plan to hold a hearing as soon as next week to get a better idea on what military construction projects the Pentagon wants to scrap – in order to move money to the wall. Also still unclear is the legal underpinnings for two other moves announced last week by the White House, where the President would move money from a Treasury Department drug forfeiture fund, as well as money from a Pentagon anti-drug account – into a border wall.