Preparing for the worst, UK carmakers warn of Brexit trade barrier costs

Last Updated: March 8, 2018By

Airlines, car manufacturers… they’re queuing up to tell Theresa May the harm that Brexit will do.

What a shame she can’t listen. She has been painted into a corner by David Cameron and must now carry the can for the worst decision in British political history.

Britain’s biggest carmakers such as Jaguar Land Rover cautioned Prime Minister Theresa May that their plants would become more expensive and complicated to run if Brexit creates barriers to trade.

Ahead of Britain’s exit, the world’s biggest car companies are grappling with how they will import millions of components from around the world and then export cars made at British factories to European clients after a Brexit transition ends.

At stake is the future of one of Britain’s few manufacturing success stories since the 1980s: a car industry employing over 800,000 people and generating turnover of £77.5 billion.

Source: Preparing for the worst, UK carmakers warn of Brexit trade barrier costs


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7 Comments

  1. rotzeichen March 8, 2018 at 8:56 pm - Reply

    Britain has since Thatcher become just an assembly plant of other countries finished goods.

    I remember negotiating with the American company Delco Remy in the mid 1970s to take on a distributorship for supplying their range electrical generating components directly for our imported industrial engines. During the meeting we had with them then, I alluded to them that we could in no way compete against Lucas industries but that it would help us provide cheaper products that we imported. The reply from their international marketing manager was, Oh I wish we could break into their market in the UK, but where is Lucas Industries now? All I ever see are Bosch products.

    Like so many of our home grown industries look where they end up, and if this government gets its own way, the NHS will end up in the same situation.

    Lucas Industries plc was a Birmingham-based British manufacturer of motor industry and aerospace industry components. Once prominent, it was listed on the London Stock Exchange and was formerly a constituent of the FTSE 100 Index. In August 1996, Lucas merged with the American Varity Corporation to form LucasVarity plc.

    After LucasVarity was sold to TRW the Lucas brand name was licensed for its brand equity to Elta Lighting for aftermarket auto parts in the United Kingdom. The Lucas trademark is currently owned by ZF Friedrichshafen, which retained the Elta arrangement.

  2. Terminator March 9, 2018 at 10:07 am - Reply

    They will just have to open factory’s in the UK and start training people to make the parts they need.

  3. Barry March 9, 2018 at 6:17 pm - Reply

    And the big red project fear bus rolls ever onwards after all membership of the eu destroyed our car manufacturing truck manufacturing ship building steel industry decades ago.

    • Mike Sivier March 11, 2018 at 1:44 pm - Reply

      The big red Project Fear bus was run by the Leave campaign.

  4. Zippi March 9, 2018 at 6:40 pm - Reply

    I know that this may be unpopular but to me, this shows how shortsighted those who took us into the club, in the first place, were. Had Parliament had the scrutiny that it wanted, things may have been different. Had the people been given the information that they needed, things may have been different. Had the same been true for both the Maastricht and £isbon treaties, things would have been different. Even Margaret Thatcher found herself bound by her predecessor. It is all a little too late, now, to start listening to the concerns of the people. Would that our governors had carried us along with them. This issue has split the country for more than a generation and I don’t see the rift being closed any time soon.

  5. muhammadjabedmiah March 9, 2018 at 7:36 pm - Reply

    will be

  6. NMac March 10, 2018 at 11:26 am - Reply

    Time someone in the nasty Tory Party stood up and told the truth, that the referendum was a weak and ill-thought-out ploy by Cameron to try to settle an internal and long-running Tory Party squabble.

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