Manufacturing in Northern Ireland has made “significant” progress in adapting to new trade arrangements introduced after Brexit, according to the region’s trade body.

A survey by Manufacturing NI found that less than a quarter of members were fighting the so-called Northern Ireland agreement, which governs trade in the region. Compared with six months ago, the proportion is more than 40%.

The findings, due on Friday, will increase the demands placed on the EU and UK by businesses in the region resolve their differences Northern Ireland’s trade in the EU’s single commodity market creates a trade border in the Irish Sea.

Manufacturing NI’s chief executive Stephen Kelly said that while the responses indicated the manufacturer was “overcoming the problem”, “more work needs to be done” to make the deal work for everyone.

Britain and the European Union will resume talks this week, with the British government warning the deal will impose an “unsustainable” burden on business.

This will be the first time British Foreign Secretary Liz Truss has dealt with the EU on Brexit since Truss took over negotiating duties after Lord David Frost resigned as chief UK negotiator late last year. The first in-person meeting between Commissioners Maros Sefcovic.

On Thursday evening, Truss will host Sefcovic for a working dinner at her elegant residence in Chevening, Kent.

UK demands EU Completely reinvented The agreement works by reducing the number of checks required for shipments from the UK to Northern Ireland. London argues it is hurting business and destabilizing the region’s politics.

Northern Ireland’s main Protestant trade union party, which wants to remain in the UK, has unanimously rejected the deal. In contrast, the nationalist Sinn Fein party, traditionally supported by Catholics and seeking to unify Ireland, said the deal “is here to stay”.

The DUP leader, Sir Jeffrey Donaldson, who leads the power-sharing executive body in the region, has demanded a timetable for implementing the UK deal’s requirements.

Trade groups say Northern Ireland has the potential to benefit from dual access to the UK and EU markets.

Officials on both sides acknowledged There are still significant differences Since the Brexit deal came into force in January 2021, the deal has soured the wider EU-UK relationship.

Irish Foreign Minister Simon Coveney welcomed last week’s first meeting with Truss. But he bluntly told the Financial Times in December Now is the time to back down.

Kelly added that the survey showed his members were increasingly seizing the opportunities presented by the region’s unique position across the EU and the UK, and gaining more business in the UK and EU.

Since July, the number of companies reporting a negative impact on UK sales has fallen from one-third to one-fifth; while the number of EU suppliers reporting problems has also fallen sharply over the same period.

But Kelly said there were “remaining issues” in the new trade arrangement, with both sides “strongly interested” in simplifying the rules for the benefit of business and the wider Northern Ireland economy.

The European Commission claims that recent economic data showing Northern Ireland’s economy outperforming the rest of the UK proves the deal works. It has made proposals to cut customs red tape by half and cut food and animal inspections by 80 per cent, but the UK disputes this.

The biggest negative impact by far has been on the supply of fresh food, as they are subject to stricter inspections than machine parts. Sefkovic said companies should adapt by sourcing more from the island of Ireland.