Brexit without an agreement would condemn British car factories
- Brexit without an agreement would trigger an increase in taxes on cars and car parts, particularly those from the European Union and exported to Great Britain and those from Great Britain and exported to the European Union. The price of cars sold in Great Britain would increase, particularly those imported from the European Union. As for cars produced in Great Britain, they would become almost unsellable in the European Union, due to cheaper competition, except for high-end models (Rolls-Royce, Bentley, Aston-Martin, Mc Laren) whose price increase could be easier to accept by wealthy customers.
- In 2018, 80% of the cars produced in Great Britain were exported, of which 53% to the European Union, 18% to the United States, 6% to China, 3% to Japan, 2% to Turkey and 2% to Australia.
- Of the 1.52 million passenger cars produced in Great Britain in 2018, 1.24 million were exported, including 652,000 to the European Union. There is therefore a significant risk that exports to the European Union will collapse if Brexit is not agreed, and consequently that British car production will collapse.
- Already, Honda has decided to close its Swindon plant, PSA will close its Ellesmere Port plant in the event of Brexit without agreement, Toyota and BMW (Mini) are threatening to close theirs as well, and Ford will close its last British engine plant. The future looks bleak for the once flourishing British automotive industry.
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