I fully appreciate that hearing that DIT advises UK companies to set up in the EU is shocking. It really isn't good PR given that one of the goals of Brexit was to avoid red tape.

But there really isn't anything particularly unusual about it.

Think of it this way

/1

A UK company is exporting to Vietnam and the supply chain becomes more complicated over time, more integrated. The company no longer only exports but moves parts back and forth, perhaps has a sister company in Vietnam that it purchases from but still invoices via the UK

/2

That part of the business is big enough to be crucial for the company. At some point, it will consider setting up a presence in Vietnam to avoid non-tariff measures and simplify the process.

/3

This is exactly what's happening now only

our supply chains are already highly integrated,
many UK business models rely on distributing to the UK
all the barriers are new.

/4

Setting up in your target market, one where a significant proportion of your supply chain is located is not unusual.

It's one of these real-life, obvious consequences of taking back control and introducing a new border.

/end