BMW AG has announced it is delaying work on the next version of a Mini model due to uncertainties over the U.K.’s trade relations with the European Union.
The German automaker has extended the lifespan of the platform that underpins the present Mini hatch for cost reasons and because of Brexit, according to a spokesman .
As the U.K. has left the EU, British car makers have warned that a free-trade agreement with the countries remaining in the EU bloc is needed to rekindle investment and stem the tumbling production levels of British-made cars. UK car output already dropped more than 14% last year – down to to 1.3 million cars. This is the lowest level in a decade, the Society of Motor Manufacturers SMMT and Traders said. UK car production outside the EU is expected to drop another 2.3% to 1.27 million units in 2020.
Merseyside jobs at Jaguar Landrover (owned by BMW) are expected to be first to go as the future of UK carmaking unravels if tariffs are imposed and supply chains are impacted by Brexit according to the SMMT. About 55% of all cars made in Britain are exported to the EU, and these new vehicles are generally loaded with parts that often have traversed the EU-UK border multiple times during the manufacturing process.
https://www.autocar.co.uk/car-news/new-cars/bmw-next-generation-mini-hatch-be-delayed
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