UK car industry seeks support, free-trade Brexit deal, as output falls

LONDON (Reuters) - Britain's car industry called on the government to help boost the market in its upcoming budget and secure a free-trade deal with Europe as output fell again in January, hit by a double-digit slump in domestic demand. British factories produced 118,314 cars last month, down an annual 2.1%, as an increase in exports failed to outweigh a 23.9% fall in domestic demand, according to data from the Society of Motor Manufacturers and Traders (SMMT). The trade body called on the government for help in the March 11 budget

Reuters February 27, 2020 06:06:29 IST
UK car industry seeks support, free-trade Brexit deal, as output falls

UK car industry seeks support freetrade Brexit deal as output falls

LONDON (Reuters) - Britain's car industry called on the government to help boost the market in its upcoming budget and secure a free-trade deal with Europe as output fell again in January, hit by a double-digit slump in domestic demand.

British factories produced 118,314 cars last month, down an annual 2.1%, as an increase in exports failed to outweigh a 23.9% fall in domestic demand, according to data from the Society of Motor Manufacturers and Traders (SMMT).

The trade body called on the government for help in the March 11 budget.

"The upcoming Budget is an opportunity for the government to provide supportive measures to stimulate the market, but the biggest boost would be the agreement of an ambitious free-trade deal with Europe," said SMMT Chief Executive Mike Hawes.

"This would end the ongoing uncertainty and help the UK to recover its hard-won reputation as a great place for automotive investment."

Britain left the EU at the end of last month, guaranteeing a transition period until Dec. 31 2020 during which time little will change in its relationship with the bloc.

Much of this year will be dominated by talks between London and Brussels on the future partnership to take effect from 2021, with manufacturers seeking the closest possible relationship to maintain their seamless production processes.

(Reporting by Costas Pitas; editing by Stephen Addison)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date:

TAGS:

Subscribe to Moneycontrol Pro at ₹499 for the first year. Use code PRO499. Limited period offer. *T&C apply

also read

Thyssenkrupp ends talks with UK's Liberty on steel unit sale
Business

Thyssenkrupp ends talks with UK's Liberty on steel unit sale

By Christoph Steitz, Tom Käckenhoff and Arno Schuetze FRANKFURT (Reuters) - German conglomerate Thyssenkrupp ended talks to sell its steel division to Britain's Liberty Steel due to differences over value, the latest setback in efforts to consolidate the European sector. Liberty Steel, led by commodities tycoon Sanjeev Gupta, last month submitted a firmed-up non-binding bid for Thyssenkrupp's steel unit, Europe's second biggest in terms of sales, which sources said included commitments to protect jobs and sites.

Factbox: Stonks in Washington: Deciphering Reddit's WallStreetBets lingo
Business

Factbox: Stonks in Washington: Deciphering Reddit's WallStreetBets lingo

(Reuters) - Reddit trading lingo may filter in to Washington on Thursday when top hedge fund managers, the head of Robinhood and Roaring Kitty himself are set to give testimony before U.S. House of Representatives lawmakers.

Brent gives up gains after rising above $65 on Texas freeze
Business

Brent gives up gains after rising above $65 on Texas freeze

By Stephanie Kelly NEW YORK (Reuters) - Oil prices steadied on Thursday, with Brent edging back from a 13-month high, after a sharp drop in U.S. crude inventories supported prices, while buying spurred by a cold snap in the largest U.S. energy-producing state petered out.