BMW and Peugeot go ahead with stops in the UK



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BMW's UK Mini plant closed for four weeks from yesterday and Peugeot's Vauxhall car plant closes for two weeks in plans planned months ago to help companies deal with any disruption resulting from Brexit, which has already been postponed .

BMW builds just over 15% of Britain's 1.5 million cars.

He transferred his annual summer shutdown to April to "minimize the risk of possible short-term interruptions in the supply of parts in the event of Brexit's failure to comply."

Peugeot's parent company PSA, which manufactures Astra models with Vauxhall in Britain and Opel on the mainland at its factory in Ellesmere Port, has anticipated the closure of a decision taken late last year, voice.

Britain's exit from the EU was postponed from March 29 to at least April 12, or potentially much later, ruining some of the contingency plans of some automakers.

Stops are arranged well in advance so that employee vacations can be scheduled and suppliers can adjust volumes, making change difficult.

"This is what our company and our workforce have been planning for many months and are set in our business planning," said a BMW spokesman.

It represents the latest headache for Britain's car industry, which was already on track for record production, but since 2017 has seen sharp declines in sales, production and investment.

The overwhelming majority of foreign-owned industries have become increasingly disbelieving as a stable and attractive investment environment falls into one of its deepest political crises, risking free trade and unchallenged industry.

BMW's Rolls-Royce factory at Goodwood will close for two weeks while the three Jaguar Land Rover (JLR) engine plants and facilities and the Honda facility in Swindon will also be closed for a few days this month as part of Brexit's contingencies .

It was turbulent months for the industry after Nissan canceled plans to build a new SUV at its Sunderland plant, and Honda said it would close its factory in 2021, the biggest blow to the industry for years.

Toyota provided a rare boost when it announced plans to build Suzuki cars at its UK car plant.

BMW, which is also shutting down its Hams Hall engine facility and Swindon press workshop and subset location for four weeks, said it could transfer some engine and output of the Mini out of Britain if there was no orderly Brexit .

Carmakers face a number of risks if there is a messy Brexit, including delays in supplying ports and finished models, new customs bureaucracy, the need for recertification of models and a tariff of up to 10% on finished vehicles.

A number of investment decisions are coming up, including whether Peugeot will keep the Ellesmere Port site open and electric vans will be built at its factory in south Luton, which is closed for three weeks while being retrofitted to produce the new Vivaro.

The petrochemical company Ineos should also choose the location for its vehicle, while JLR's decision is to build electric vehicles in its domestic market.

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