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Motor Vehicles: Manufacturing Industries

Question for Department for Business, Energy and Industrial Strategy

UIN HL16678, tabled on 25 June 2019

To ask Her Majesty's Government what assessment they have made of the impact of a no-deal Brexit on just-in-time supply chains in the UK automotive sector.

Answered on

2 July 2019

In February 2018, the Government published its assessment of the implications for business and international trade in the UK, if it leaves the EU without a deal on March 29. This assessment remains valid.

The UK and the EU share a strong commercial interest in maintaining the competitiveness of our automotive industries, which rely on highly integrated and sophisticated just in time supply chains. Under a no-deal outcome, the automotive industry would face additional costs and burdens as a result of new customs procedures, compliance requirements and reductions in traffic flows across the Channel.

BEIS ministers and officials regularly engage with the automotive industry, bilaterally, via trade associations, and through the Department’s participation in the Automotive Council, to discuss no-deal risks and mitigations.