Car makers call on UK and EU to avoid “catastrophic” no deal Brexit

News

With just 15 weeks before the Brexit transition period expires, trade organisations representing automotive firms across Europe have joined forces to call on the EU and UK to urgently secure a free trade agreement (FTA).

According to the group of 23 different associations - which includes the European Automobile Manufacturers Association (ACEA) and the UK industry’s trade body the Society of Motor Manufacturers and Traders (SMMT) – failure to secure a free trade deal would cost the pan-European automotive sector some €110 billion in lost trade over the next five years, putting jobs at risk in a sector that supports 14.6 million livelihoods.

Without a deal in place by 31 December, both sides would be forced to trade under so-called World Trade Organisation (WTO) non-preferential rules, including a 10% tariff on cars and up to 22% on vans and trucks.

 "The stakes are high for the EU auto industry,” said ACEA director general Eric-Mark Huitema, “we absolutely must have an ambitious EU-UK trade agreement in place by January. Otherwise our sector – already reeling from the COVID crisis – will be hit hard by a double whammy."

Register now to continue reading

Thanks for visiting The Engineer. You’ve now reached your monthly limit of news stories. Register for free to unlock unlimited access to all of our news coverage, as well as premium content including opinion, in-depth features and special reports.  

Benefits of registering

  • In-depth insights and coverage of key emerging trends

  • Unrestricted access to special reports throughout the year

  • Daily technology news delivered straight to your inbox

Register
Or continue by

Signing in with your registered email address