Honda includes a large car factory in the UK. Shortly before the Brexit 3500 jobs are at stake. The EU has just concluded a comprehensive free trade agreement with Japan, the auto customs duties breaks down. London and Tokyo argue, however, about the future of trade relationship. the
The Japanese car maker Honda includes his work in the UK. The group announced on Tuesday. The plant in Swindon is Honda’s only production site in Europe. The factory with 3500 employees is to set 2021 the work. The end of March upcoming Britain to leave the EU was not the reason for the decision, it said. It’s going to be a restructuring of the global production network, in order to focus more on electric cars. The British business Minister Greg Clark called Honda’s announcement “deeply disappointing”. The decision was disastrous for Swindon and the whole of the country.
The decision comes a few days after that is freely entered commercial agreement between Japan and the European Union. Japanese companies such as Honda will benefit from it, since the EU tariffs will be reduced from ten percent to cars from Japan, step for step, and by 2027 to be omitted.
The British government is negotiating with Tokyo, to reach a free trade agreement. But it seems to run very poorly, reported just the Financial Times. Therefore, Japan felt that the United Kingdom is disproportionate under pressure. Tokyo have temporarily is even considering talks on a trade to cancel the agreement with the UK officially.
Economists argue that States do in such negotiations easier, when a number of countries to negotiate together, instead of only two: Because then more compromises are possible.
President Trump’s penchant for one-on-one trade deals means proposing concessions to Japanese Prime Minister Shinzo Abe is likely to reject. A plurilateral approach would be more effective. https://t.co/7juZdrK73e pic.twitter.com/fOFtDCRNcB
— Peterson Institute (@PIIE) January 12, 2019
If London, the EU, the United Kingdom is not part of the EU-negotiated free trade agreement. The unsettled, especially international corporations, the fear that they can export their products from the UK with new duties. This is shown especially in the case of Japanese companies. The car company Nissan had recently announced to build the next Generation of its SUV model X-Trail for European market prefer to stay in Japan instead of in England. A No-Deal-Brexit could also complicate the production of the British Toyota site, and informed the manufacturer. In addition to the Brexit, the global trade disputes, the drop in Diesel, it is demand and more stringent emission limits, which create companies.
Honda’s plant in Swindon in the South of England annually produces up to 150 000 cars, including the model of Civic. The factory makes around 10 percent of the total car production in the UK. Honda began in the year 1989, initially with the manufacturing of engines. Since 1992, cars of the tapes.
