Mike Hawes, SMMT Chief Executive: “The lack of progress from today’s European Council meeting is hugely disappointing and business is gravely concerned about future prospects. No deal is not an option but nor is a limited Canada-style trade agreement, which would create hard borders where they currently do not exist, impose new and costly administrative burdens and would not afford the industry zero tariffs given rules of origin requirements.
“Contingency plans for no deal are already being enacted on both sides of the channel but we must avoid this scenario. The importance of frictionless trade to our highly integrated just-in-time business model cannot be overstated so we need a deal – urgently – that replicates the benefits of the single market and customs union to safeguard the industry and the 856,000 livelihoods that depend on it.”
About SMMT and the UK automotive industry
The Society of Motor Manufacturers and Traders (SMMT) is one of the largest and most influential trade associations in the UK. It supports the interests of the UK automotive industry at home and abroad, promoting a united position to government, stakeholders and the media.
The automotive industry is a vital part of the UK economy accounting for £82 billion turnover and £20.2 billion value added. With some 186,000 people employed directly in manufacturing and 856,000 across the wider automotive industry, it accounts for 12.8% of total UK export of goods and invests £3.65 billion each year in automotive R&D. More than 30 manufacturers build some 70 models of vehicle in the UK supported by 2,500 component providers and some of the world’s most skilled engineers.
More detail on UK automotive available in SMMT’s Motor Industry Facts 2018 publication at smmt.co.uk/facts18
Broadcasters: SMMT has an ISDN studio and access to expert spokespeople, case studies and regional representatives.
SOURCE: SMMT
