The Society of Motor Manufacturers (SMMT), the British automotive industry trade body, has written to new Prime Minister Boris Johnson insisting that a no-deal Brexit ‘is not an option’.
Chief executive Mike Hawes describes a no-deal Brexit “an existential threat to our industry” which would result in “huge tariff costs and disruption that would threaten protection”.
International investor confidence in the industry would be further undermined if frictionless and tariff free trade was impaired.
Hawes has urged the new Prime Minister to meet with industry “as soon as possible” to discuss how both can work together to secure the future of the industry.
“No-deal Brexit is simply not an option.”
Unprecedented change
Britain is potentially well poised to capitalise on the fundamental change coming to the automotive industry in the next decade, said Hawes (pictured above).
“Automotive is, however, a highly competitive sector internationally, with fine margins. We cannot afford to be complacent.”
Boris Johnson has the opportunity to “assure our sector’s future success,” says Hawes… “an ambitious objective, and one I hope you share”.
He also reminds the new PM that UK automotive contributes £18.6 billion to the UK economy, employs hundreds of thousands and “makes the most significant contribution to UK trade of any manufacturing sector.
“When automotive succeeds, so does the UK.”
