8. What discussions has the Counsel General had regarding the impact of a no-deal Brexit on the manufacturing industry in Mid and West Wales? OQ55637

The UK Government's approach to the negotiations means the manufacturing sector will face significant new barriers to trade in any event, and these will be worse if there is no agreement. The UK Government must prioritise negotiating a deal that protects the economy, including highly regulated manufacturing sectors in Wales.

I'm grateful to the Counsel General for his answer. We had representatives of the steel industry in front of the economy committee, and they were highlighting the dangers of a 'no deal' Brexit as potentially very serious for their future. This, obviously, has a big effect potentially on the Trostre steel plant in Llanelli. What further representations can the Welsh Government make to the UK Government with regard to the importance of retaining the steel industry here in Wales, and those parts of it that are in the mid and west region?

Well, I echo the Member's concern. Our friends in the steel sector continually make the argument to us, which we accept and agree, that the sort of scenario that she envisages would be very, very detrimental to steel production in Wales and in the UK. I can assure her that the Minister for the economy has an ongoing dialogue with steel producers in Wales, and across the economy actually, in relation to other sectors as well that are potentially adversely affected by Brexit, and the consequences of leaving the European transition period without a significant deal focused on supporting livelihoods, focused on supporting those foundational sectors in our economy. The risks of doing so are very significant and he continues to be in regular discussion both with steel producers, but also the UK Government on these issues.

I thank the Counsel General.