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Carmakers Hike Prices in U.K. as Pound Sterling Weakens
Ford, General Motors, Nissan and PSA have raised their new-car prices in the U.K. by about 2% to help cushion a 15% decline in the British pound sterling against the U.S. dollar.
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Ford, General Motors, Nissan and PSA have raised their new-car prices in the U.K. by about 2% to help cushion a 15% decline in the British pound sterling against the U.S. dollar.
The pound has weakened significantly since the U.K. voted in June to exit the European Union. Ford said in July that the unfavorable swing in exchange rates would cost the company about $200 million this year and at least twice that much in 2017.
Carmakers tell Automotive News Europe their initial price hikes in the U.K. are likely to be followed by a second wave of increases. GM says it also is reducing domestic production in England, its largest European market, to help control costs.
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