ANNOUNCEMENT 04 Dec 2015
In December 2015, the British government announced a change in its trade finance instruments.
NUMBER OF INTERVENTIONS
On 4 December 2015, the UK Export Finance agency announced in a press release that it had provided reinsurance to the Dutch Export Credit Agency Atradius with regards to a number of British exporters involved in the FPSO Cidade de Saquarema project.
The approximately 40 British companies are involved in the construction of the Floating, Production, Storage and Offloading (FPSO) vessel, which will be used for oil extraction off the Brazilian coast. UKEF estimated the support at 50 million USD.
A state measure in the GTA database is assessed solely in terms of the extent to which its implementation affects the extent of discrimination against foreign commercial interests. On this metric, the state aid proposed here is discriminatory.
Brazil imports the specified product from Japan and China. However, as part of the vessel was to be constructed in China, only Japan was selected as an affected trading partner.
According to a media report (cf. Sources), UKEF provides loans under the condition that at least 25% of the loan is targeted to support British jobs.