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2024-09-08 Update From: AutoBeta autobeta NAV: AutoBeta > News >
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AutoBeta(AutoBeta.net)03/31 Report--
As a result of Brexit, a number of car companies have planned to close their factories in the UK. Honda announced in February that it had decided to close its car factory in Swinton in the southwest of England in 2022, which would directly lead to the unemployment of 3500 employees at the plant.
The closure of Honda's UK plant will cause a large number of job losses, and British people demonstrated on Saturday, with thousands of local workers at the Honda Swindon plant putting up banners printed in Japanese demanding negotiations with Honda.
Honda's Swinton plant mainly produces Civic five-door hatchbacks and CR-V crossovers, which are exported to countries and regions around the world, most of which are exported to continental Europe. The Honda Swinton plant produced more than 160000 cars last year, accounting for about 10 per cent of the UK's total output of 1.52 million, and if the Honda plant is closed, the British car industry could be hit hard.
Brexit has also been rough since the referendum. Britain was scheduled to leave the EU on March 29, but it was decided to ask the EU for an extension of Brexit because the agreement reached between Theresa May and the EU could not be passed. The EU said that if a Brexit agreement is passed within this week, it can postpone Brexit until May 22, otherwise it will "leave the EU without agreement" on April 12.
Affected by Brexit, Japanese automaker Honda Toyota successively announced plans to close its British car plant, and earlier this month Toyota said that if Britain leaves the European Union without an agreement, it will close its British car plant as soon as 2023.
Britain is an established country in the automobile industry, which is very specialized in making cars, giving full play to the craftsman spirit of the automobile industry. The British car market is very mature, but its domestic market is after all very small and must rely on exports to boost the economy. Many car companies have set up factories in the UK, but they are mainly exported to other countries and regions.
Experts had predicted that British production would reach 1.95 million vehicles by 2020, but the British auto industry has been in turmoil since the start of the Brexit process, with Jaguar Land Rover announcing plans to stop production and lay off workers long before Honda. In early January, Jaguar Land Rover officially announced its decision to cut jobs in the UK, cutting up to 4500 of its original 40, 000 employees and shutting down some factories to cut production. Jaguar Land Rover has explained that it was influenced by Brexit.
After Brexit, Britain has a great impact on Britain's import and export trade. at present, many manufacturers around the world have set up factories in the UK, but it is impossible for Britain to independently produce all the parts, which means that many parts need to be imported from abroad. After Britain levies certain tariffs on imported parts, it will certainly have a certain impact on the price of cars. It is clear that Brexit has affected the investment direction of the British auto industry.
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