Stena Line currently remain committed to Welsh ports and hope for improvement in volume over the longer term.
The ports Stena support at Holyhead and Fishguard rely on goods coming from Ireland, as much as outward traffic. Immediately after Brexit, overall usage fell by half, although this has settled at around 30% below pre Brexit levels.
A global pandemic around the same time will not have helped but Stena and the port authorities believe the fall is largely Brexit related. The formerly popular land bridge route from Ireland to Europe is being used less frequently.
This is despite freight volumes being fairly normal in the Irish Sea and sufficient time for people to get used to admin changes.
A Different Route
For decades, Irish hauliers have preferred to cross to the UK, drive south and access Europe via Dover. Travelling directly to France by sea from Ireland is slower and in a direct costs sense, more expensive.
Sailing directly does however avoid post Brexit checks and paperwork. The hauliers and their customers have come to the conclusion that a direct route is preferable, with savings outweighing additional cost, along with less hassle.
There will always be exceptions and a few have returned to the UK approach but the number of direct routes and sailings have increased markedly. They are filling a demand which looks unlikely to go away.
Looking Forward
The reductions also apply to EU hauliers travelling to Ireland, who may choose to bypass the UK. Trade on an overall basis between the UK and Ireland has fallen but not to the same extent as with other former EU partners.
The UK is a prime destination for a range of Irish exports, Ireland is the UK’s 6th largest trading partner. We remain linked together by the Common Travel Area, language and personal, or cultural ties.
There are plans to build more effective border control posts in North and South Wales. A digital border is envisaged, which may quickly make parts of the new physical infrastructure redundant but should be advantageous for hauliers.
Welsh ports have not been immune to freight issues, from containers to driver shortages but are in better shape than the European average. There are further admin loads to come but they are manageable and those to date are being absorbed.
ATA Carnet Use
Amongst the changes since January 2021 is the use of ATA carnets, for temporary export between the UK and Ireland. A global system that long predates Brexit, which is proving to be efficient and user friendly.
They are an extra admin layer but not too onerous and are valid for 12 months, allowing for repeat use where that suits. A useful addition, when other customs checks are due to be stepped up in July 2022.
Welsh ports can be overlooked, compared to places such as Dover but are vital to UK logistics and the communities they support. If we can help with an ATA carnet to Ireland, please get in touch with our experienced team.