Mexican Media Brands
SMMT: No-Deal Brexit Could Kill Auto Industry
The British auto industry faces an “existential threat” if the U.K. crashes out of the European Union without a new trade deal, warns the Society of Motor Manufacturers and Traders.
#labor #economics
Share
The British auto industry faces an “existential threat” if the U.K. crashes out of the European Union without a new trade deal, warns the Society of Motor Manufacturers and Traders.
SMMT CEO Mike Hawes cautions new Prime Minister Boris Johnson, who has championed a hard Brexit, that Britain’s auto industry is deeply integrated with Europe. Without favorable post-Brexit trade agreements, Hawes declares, carmakers will face huge tariff costs and supply disruptions that upset production and further jeopardize foreign investment.
The U.K. is scheduled to leave the EU at the end of October. Johnson says he prefers to do so without drama. But he also has vowed to leave with or without new trade pacts.
Analysts note that Johnson has shown little interest in the auto industry in recent months but appears confident that is tough stance will coax the EU into new negotiations. Other Brexit supporters contend that Germany, which counts the U.K. as a major market, will exert considerable pressure on the EU to shield that business from the perils Hawes describes.
RELATED CONTENT
-
UPDATE: UAW, GM Reach Tentative Labor Deal
General Motors Co. and the United Auto Workers union have reached a possible deal on a new four-year labor contract covering some 48,000 of the union’s hourly workers in the U.S.
-
UAW Launches Strike Against GM
As expected, some 48,000 of the United Auto Workers Union members began a strike at midnight Sunday against General Motors Co. facilities in the U.S.
-
GM Unit Stresses Driver Training in Autonomous Cars
General Motors Co.’s Cruise Automation unit says it puts backup drivers and auditors through extensive training before allowing them to participate in real-world autonomous vehicle tests.