Flavio Maluf Points out the Economic Implications of the UK Exiting the European Union

Flavio Maluf is an acclaimed executive in Brazil. He is known for being outspoken on a variety of issues, precisely those concerning economics. Last year, Flavio could not fail to analyze a historical situation that would affect the global economy, Brexit. He pointed out four implications that would be triggered by the departure of the United Kingdom from the EU.

 

  • British Economy

 

In this case, Flavio Maluf drew the impact from Paulo Figueiredo, the director of operations of FN Capital. Paulo asserted that the UK’s departure would result in a significant decline in the investments it receives. Further, the end of free movement of goods and people between EU member countries would trigger adverse outcomes.

 

  • Foreign Trade in Europe and the UK

 

Flavio suggested that the exit from the EU would mean that the UK would institute new rates on quotas and tariffs. This would most likely affect its foreign trade with the EU negatively.

 

  • Brazilian Imports and Exports

 

According to Flavio, Brazil stood a high chance of benefiting from bilateral agreements with the UK. Nonetheless, he said the benefits would be minimal since the UK is not a top trading partner of Brazil.

 

  • European Union

 

The exit would mean a significant loss for the EU as most of its structures were centered around the UK, France and Germany. With France displaying weakness in its economy, it is up to Germany to support the EU economically.

 

About Flavio Maluf

 

Flavio Maluf is the current president of Eucatex Group. He assumed the role after succeeding his uncle who was at the time the company’s president. Flavio had to familiarize himself with different aspects of the company in a bid to run it appropriately. As a result, Flavio embarked on his career at Eucatex by first working in the trade area for several years before moving to the industrial division.

 

Since taking up the president’s role, Flavio Maluf embarked on the modernization process. He has maintained an aggressive profile in that he continuously seeks not only the success but also the perfection of Eucatex on a daily basis. Aside from Eucatex, Flavio has a mechanical engineering degree from Armando Alvares Penteado Foundation coupled with administration studies from the New York University.

Flavio Maluf Explains the Economic Impacts of the Brexit Vote

In mid-2016, British citizens took part in a historic vote, which saw the country severe economic and political ties with the European Union. Brazilian businessman and corporate executive, Flavio Maluf, asserts that the withdrawal of the UK from the European bloc is likely to have both immediate and long-term implications on the global economy. According to Maluf, trade and investments between Britain and its former allies within the EU bloc will reduce.

 

Trade barriers are already being imposed. It should be noted that these tariffs didn’t exist previously. Despite this, Maluf opines that the withdrawal presents countries like Brazil an ample opportunity to form multilateral trade agreements with the United Kingdom. At the moment, the two countries do not have any significant ties. In addition, they are not each other’s main trade partner. Therefore, there is need to strengthen cultural and economic ties between the two since both stand to benefit significantly. The ties are likely to be fortified by the fact that Brazil no longer has to deal with the EU first when engaging with Britain.

 

Brief Notes About Flavio Maluf

 

Flavio is the current President and Board chairman of Brazilian conglomerate, Eucatex. This is a family owned corporation whose heritage spans more than 50 years. Flavio has served in different positions within Eucatex for the past two decades. He has a solid academic background having graduated with law and mechanical engineering degrees from Sao Paolo’s Fundação Armando Alvares Penteado Foundation (FAAP). Besides this, Mr. Maluf attended the New York University where he earned an MBA.

 

Mr. Maluf also heads Grand Food, a subsidiary of Eucatex. Nonetheless, what has catapulted him to global fame within the corporate world is his transformative leadership. His stewardship has been characterized by massive growth and expansion to previously uncharted domains. Besides this, he has helped modernize operations at Eucatex. As a result, the firm has consolidated its position as the leading supplier of construction components such as floor tiles and ceiling panels. It mainly supplies its products to construction and furniture companies. Eucatex is also involved in environmental conservation efforts and the improvement of livelihoods among local communities throughout Brazil.