Industries at risk – automobile

Industries at risk – automobile
Comments Off on Industries at risk – automobile

FT December 22, 2016. Of all cars made in Britain (some 1,700,000 in first 11 months of 2016) more than half are sold to EU,  from where about half the components are sourced. The supply chain is integrated to such an extent some parts cross the Channels five times before final assembly. The crankshaft for the BMW mini crosses three times. (Guardian March4, 2017). There is a five per cent tariff on components.

Several British car plants including Nissan’s in Sunderland, were built to make cars for European market and rely on free access to Single Market to remain competitive.

In November 2016  Nissan was given assurances, undisclosed, that its trading conditions would not change after Brexit.  Unless all other car manufacturers are given similar assurances their UK plants may find it hard to win new investment.  And..

Jobs would go.