The immediate reason why Honda is closing its Swindon car assembly plant is the lack of demand for its cars throughout Europe. The company’s sales in Europe peaked in 2007 at 313,000 and is now under half that. Contrary to referendum rumours their closure has nothing to do with Brexit. They are also ceasing production in Turkey and do not want any production in Europe for the future.
The second reason is the EU/Japan trade deal. The prospective ending of 10% tariffs on imported cars from outside the EU will make Japanese produced Hondas in future 10% cheaper. Why not make them in Japan and get greater economies of scale from manufacturing there where they need output for the home market as well?
Which brings me to the third reason. Honda needs to launch new models that are all electric for the market of the future. This requires a complete rethink on how you make cars and where you make them. Honda will put its battery capacity into Japan and get the economies of scale there for the European market production at the same time.
This Honda story is a warning to the UK and to other established centres of car production in Europe. The transformation of the car means new plant and new equipment and may well mean a different pattern of industrial location as a result. Brexit was never a threat to the UK car industry. Electrification is. For the UK to keep its current level of capacity and to grow its industry it needs to take bigger strides to invest in and control the raw materials, component production and assembly of the electric cars of the future given the determination of the USA, EU and UK governments to force this transition. Until enough people freely buy electric cars this means the industry investing in advance of demand and government offering suitable assistance to help make the new products more affordable and acceptable to customers.
Meanwhile the Honda factory will become warehouse space. Let’s hope it will not just be filled with more imports.
March 28, 2021
Honda had a car factory here before Brexit. After Brexit they donât. But you think it is nothing to do with Brexit. What do you think the moon is made of, cream cheese?
March 28, 2021
I guess Honda saying this has nothing to do with Brexit is irrelevant compared to your personal blame game, nor I suppose a restructuring of the car industry world wide and itâs over capacity.
I guess on that basis the moon is made of cream cheese.
March 28, 2021
Cadbury going to Poland had nothing to do with the EU.
JLR going to Slovakia had nothing to do with the EU.
Ford opening in Turkey and closing in the U.K. was not down to the EU.
I guess being told all of this repeatedly for years did not stop the Brexitists fraudulently repeating it as a case for Brexit.
March 29, 2021
Other than being financed and encouraged by the EU…
March 29, 2021
Andy, Don’t be absurd, they were all connected to our being a subject state of the EU. From EU grants (of our money) for poorer areas of the EU, to the EU-Turkey customs union. I guess being told all of this repeatedly for years did not stop the Remains fraudulently denying it.
March 29, 2021
Andy, In 2012 Ford did receive a loan from the European Investment Bank (EIB), an EU institution, of around ÂŁ150 million for a factory in Turkey.
Feb 2010 âCadbury is now a subsidiary of an arm of Kraft, or spin-out company, known as Mondelez International… Kraft chairman Irene Rosenfeld was summoned last night to an urgent meeting with Business Minister Lord Mandelson. He is seeking cast iron guarantees over her future plans for Cadbury staff and factories. ‘There are no assurances over jobs and to make matters worse a government-supported bank – RBS – has helped Kraft increase its debts to fund the deal.
‘The last chocolate bars have been made at a Cadbury factory in Britain after production was switched to Poland. Daily Mirror Jan 2012..
âChocolate giant Cadbury is bringing Dairy Milk back to Britain after switching some of its production to Polandâ Daily Mirror 2017 April
Jan 2019 Express EU allowed Slovakia to tempt Jaguar Land Rover away from UK with ÂŁ110m state aid pledge EUROPEAN Union rules helped convince Britain’s biggest carmaker to shift its production from Solihull to Slovakia…
Officials decided the grant complied with EU rules because Nitra, where the factory is located, is a disadvantaged area and therefore eligible for government payouts. Steve Baker, the former Brexit minister, denounced the EU for believing it is acceptable to use British money in order to move jobs to another member state. He said: âIf it is the case that, however lawfully, tens of millions of pounds of taxpayersâ money have been used to relocate a great British brand out of the United Kingdom then that is just flat wrong. âWe donât want to be living in a society where the location of business is determined by taxpayersâ money being hosed at them to relocate.
March 28, 2021
Indeed – it may be possible to conflate brexit’s devastating effects with other adverse influences, but in what way is it remotely possible that it helped, either this or any other exporting industry which has been devastated?
Exporters of speciality foods in particular might like a word with John.
March 28, 2021
MiC i agree these food manufacturers must insist on reciprocal terms on their products that we import; what the hell was Frost and Boris doing accepting all manner of imported items with no âlevel playing fieldâ whilst having our cheese, meat, sausages banned without expensive Vet and export paperwork (then I heard Boris extended this – why John?). A level playing field works both ways or it should be on these products and people would then have to buy British cheese, British meat and sausages or other Countries we do have level playing field trade agreements with and stop importing things from EU Countries who want to take all manner of advantages. Itâs almost as though they want Brexit not to work so they have to sign up to Single Market terms. Just how is this sort of export different to WTO terms?
March 28, 2021
A-Tracy
â Itâs almost as though they want Brexit not to work so they have to sign up to Single Market terms. Just how is this sort of export different to WTO terms?â
Thatâs an interesting thought.
Johnson did – surprisingly – get out of jail on the vaccine blockade without doing anything, possibly thanks to EU concerns about Nigel Farageâs proposal. However, Johnsonâs luck will not last indefinitely.
I donât know if Johnson is frightened of WTO terms or simply unwilling to move to them even when the present agreement seems worse.
March 28, 2021
We do not have Donald Trump, that is why and no he has not gone away. Nothing can stop what is coming ,nothing.
March 28, 2021
Good comment.
But the EU is doomed, can you not see ?
It failed in the Credit Crunch and now it’s failed in the Covid crisis, the two major crises that it has faced in its lifetime, causing great hardships and even fatalities among its people to preserve the institution itself.
It will not survive.
I never expected my vote to leave the EU to be vindicated so soon. Not being in the euro helped us recover from the Credit Crunch – not being in the EU got us the vaccine.
Awful though the Swindon situation is I’m glad we’re out.
March 28, 2021
Your vote to leave looks dumber today than it did in 2016 – when it look dumb.
The EU is going nowhere. It will not collapse.
It will still be here when I die and I am probably 30 years younger than you.
March 29, 2021
Andy, Indeed the EU empire is going nowhere. And, like your children, you never seem to age like the rest of humanity.
March 28, 2021
The UK has far more deaths-per-million from covid than does any of the major European Union countries.
The latter is also exporting vaccines in a coherent policy to tackle what is a globally catastrophic pandemic.
The UK’s vaccination success is down to the NHS. Look at the massive, utter waste of money that the Tories’ beloved private sector made of test and trace on the other hand.
What ever do you mean?
March 29, 2021
How is the vaccine’s success down to the NHS – it was devised and developed at Oxford Jenner Institute labs with funding from UK government and Astra Zenica, produced by AZ and distributed in a process run by a venture capatalist engaged by HMG for the program. The NHS administered some vaccines but many got theirs via GPs. So the majority of the success is down to private sector.
Not to mention Pfizer, Novavax and Moderna.
Far from exporting vaccines in a coherent manner the EU is focused on blocking exports and even spoiling vaccines prepared for shipment under the Covax scheme for less developed countries.
The EU’s incompetence and spiteful petulance knows no bounds and you celebrate it every day on this blog.
March 29, 2021
And yet, Martin, it was the private sector that gave us (and the EU) the lowest cost, most transportable, chinavirus vaccine, that the EU is moaning about. It is ironic that the EU compares itself to us – the UK – not to the USA, or even China. As you do.
March 29, 2021
âThe UKâs vaccination success is down to the NHSâ – well no it is really down to the availability of vaccines, almost anyone can inject people if they have the shots. One can easily do it yourself in 60 seconds.
Alas the UK also has one of the highest death rates per tested positive âcaseâ at 3%. Well under 1% in many countries and most are under 2% so why has UK health care systems and the NHS performed so very poorly on this measure? At 1% it would have saved 80,000 lives and 2% 40,000 lives of the circa 120,000+.
March 30, 2021
We are counting everyone who dies as having died with or from Covid.
We are a densely populated island with lots of big cities and conurbations. Yet you want our population to double. We are the ideal country for a pandemic. Like Belgium.
March 28, 2021
@Swindon; Rather than being rude how about you actually read beyond the first paragraph?
Our host gave reasons as to why he believes the decisions by Honda to close certain assembly and manufacturing plants in Europe points to non Brexit issues – even if he does conflate the move towards EVs.
March 28, 2021
Tory govt was/is a threat to the car industry, JR made that clear when Hammond was about! Now a specious change in tac to deflect blame. Must be election coming up!
Tory govt is now a threat to manufacturing industry, small businesses and has gone full global big corporate green garbage. No striver, saver or prudent person or small/medium business is safe from this high tax govt.
March 28, 2021
+1
March 29, 2021
Indeed meanwhile China are attacking MPs and anyone who tell the truth about what they are clearly up to.
The net zero lunacy is just a way to export jobs and whole industries to countries who (rightly) do not care about harmless CO2 plant food emissions.
March 28, 2021
They had an electronics factory employing thousands before we joined the EU, but lost it whilst we were in the EU.
March 28, 2021
Yes, the European Union stole our red telephone boxes and elm trees too, didn’t it?
March 28, 2021
A member is responsible for the spread of Ash dieback, and Elm disease.
March 30, 2021
Ah, you must have it both ways.
March 28, 2021
Honda came to Swindon and helped turbocharge Britain’s motor industry renaissance based on its heritage in the 1980s. It was so successful with saloons like the joint venture with Rover in Europe that BMW eventually took over Rover and cutting out Honda who never managed to crack the German, French and Italian markets except the fringes of poorer countries.
Business uncertainty has always been a feature at Swindon and Brexit added to that given 5 years of wrangling. Honda is an engineering company par exec with motors in many markets and that business is about to experience structural and seismic electric change sadly for everyone.
March 28, 2021
As commented elsewhere, it has much more to do with Honda’s continuing loss of market share over the past decade, the accumulation of national car brands under a few global players (enabling economies of scale and product development) but most of all the complete disruption of car makers long term planning by the very poorly thought-out rush (by our political classes) to force ‘electric’ vehicles on consumers who still remain largely dubious about their benefits.
March 28, 2021
I am amazed by some contributors here clearly never checking the historical background of the topics on which they are to comment.
So yes, the first efforts towards the electric cars must have been pushed by Lyndon. B. Johnson (ElectroVair, 1966-67) or Richard M. Nixon (Rambler American, 1969). Or could it have been previously the push from De Gaulle in 1959 for the Renault Dauphine/Henney Kilowatt? Or possibly was it Woodrow Wilson or Warren G. Harding who had pushed for the Detroit Electric, the electric car prevalent in the 1920 US, obviously before being quickly killed by the emergence of Henry Fordâs ICE cars (half the price, with a much better range).
But funnily enough milk floats have continued to be electric, London cabs were electric at the turn of the 20th c., Deutsche Post still had electric vans in the 1950s, … and the smaller DHL delivery vans in the US right now are electric (must be Biden) … and as far as I can see all rovers going around on the Moon and now on Mars are electric. Ah really these US presidents what a pain they are …
March 28, 2021
hefner. You raised a chuckle, thank you.
As a matter of interest – would the batteries in electric milk floats be of any use for modern EV car production?
Obviously there are questions about range between charging but I’ve been wondering about whether the batteries were fundamentally different in those old milk floats, or basically the same as those carried by petrol cars.
March 28, 2021
I did a milk round mid 50s to early60s and we had a horse and cart which was far better than the electric float The horse knew the round, would move up the street with the cart and stop and saved walking back which one had to do with the electric float.
March 29, 2021
I believe Milk Floats used essentially the same kind of lead acid batteries that you would have found in most cars until recently. They were a good solution for this application given that the vehicle was constantly stopping and starting, the route was a known (fixed) mileage and that there was ample time to re-charge the vehicle in it’s depot (where recharging points could be provided for each unit).
Of course, even electric vehicles (and horses) are not as eco-friendly as a Milk handcart pushed by the Milkman (which my Grandad did as a young man in South London). Perhaps that’s where we are all going – somewhere in a handcart….? đ
March 28, 2021
One wonders if John Redwood has had similar private conversations with Honda leadership in the way that the previous MP for Bracknell did. From his comments, it would seem that what Honda have said in public and what was communicated in private were not exactly the same thing and what Honda said in public had a lot to do with not wanting to risk alienating half their potential customers.
March 28, 2021
Peter, did you really believe what the previous Mp for Bracknell said about anything.
He thought he was so right on so many things, he failed to get re-elected because he was completely out of touch.
March 28, 2021
Did you even read the post? With a free trade agreement it is now ten percent cheaper to ship cars from Japan. What does that have to do with Brexit?
Remainers are currently making themselves look more and more like idiots. They take any random story and chant Brexit, Brexit! That just tells people that you don’t have any real issues to raise.
March 28, 2021
Dear Jon,
Still in thrall of the «Brexit sunlit uplands» slogan, right?
Wait for the next quarter business data: you’ll be surprised again, just like by last January numbers…
Take care and be safe,
Fernando Ferreira
March 28, 2021
The greatest damage done to the UK car industry (and lots of other industry) was while in the EU. Annihilation.
March 30, 2021
Due to useless management, lack of investment and militant trade unions.
March 29, 2021
An astonishingly moronic argument. Honda had a car factory here when I was 68. By the time I am 70 they wonât have a car factory here. Therefore, my ageing two years caused them to close their factory.
March 28, 2021
Good morning.
The real question is : How is it that Honda can make cars in Japan cheaper than making them and selling them in the UK and Europe ? Remember. Japan does not possess vast amounts of mineral wealth. No coal or oil. No iron ore. It has to import almost everything and that includes materials for batteries.
The UK needs to make things cheaper and better but ! Thanks to the WA the Tories signed with the EU, we are not allowed to be more competitive then them as that would be seen as unfair. Witness their behaviour over the vaccines. So the UK will hemorrhage jobs regardless.
We need to get rid of the minimum wage and drop the green crap. We need to entice people to invest and that means less taxes. Trouble is, we are going in the wrong direction.
March 28, 2021
We donât need to drop the minimum wage, back to the Victorian era for you I guess and as for the green crap, fortunately you have lost the argument so time to move on or else you will be in danger of joining your forebears in the national history museum.
March 28, 2021
Being overwhelmed by the propaganda does not mean you have lost the argument. Just that the other side shouts loudest.
March 29, 2021
Nig1, No, I believe it is you who has lost the argument over greencrap. Look at the government’s own projections for electricity production – from just under 40Mtoe in 2020 to 40Mtoe in 2040 – and ask yourself where all the electricity is going to come from to power BEVs and electric homes. Are you like Andy who thinks it will come from lower power toasters?
March 28, 2021
Indeed, we need to return to Little Dorritâs times. Full steam ahead.
March 28, 2021
@Mark B; “We need to get rid of the minimum wage “
Are you offering to work for less than the NMW, or was that just another of your hard right ‘Do as I say, not as I do’ comments?
March 28, 2021
Agree Jerry. The NMW is already a pittance. I can’t imagine living on it with the cost of living today. No wonder people need top ups.
March 28, 2021
The minimum wage, though misguided, is not what makes production in the UK expensive. It is living costs,energy and taxation.
March 28, 2021
Notably the residential property bubble, maintained at literally any cost by the Tories.
March 29, 2021
Asset bubbles have existed for several decades now Martin – under both Tory and Labour governments. They are caused by ultra low interests rates which steal from the prudent (e.g. savers) to fund ‘things’ that otherwise would be unaffordable. There can be no Free Money Tree. This government must be praying that inflation doesn’t take off during their watch, because all Hell will break loose if it does..
One of the advantages of being ‘old’ (and seemingly therefore despised by you) is that we have longer memories. Historically, interest rates have averaged around 5%. I still remember having a large mortgage that rose from 9.5% to 15% (within 12 months) in the late 80’s. So that would be like having a 3% mortgage today quickly going up to 4.5% – except that we were limited to maximum 3-times salary rules etc and these days people are much more over-borrowed I believe.
So my advice to the young is that inflation and interest rates do eventually rise, confidence can collapse and bubbles do burst. Stay out of debt and be prepared for the opportunities when they (will) eventually arise. Then one day, young people may tell you how easy it was for you when you were younger. đ
March 30, 2021
You are not getting away with that, true as it is. In 1997 a two-up, two-down in Newcastle was about ÂŁ15 to ÂŁ20k. By the time Blair and Brown had been in charge for 10 years that house was ÂŁ100k to ÂŁ120k. It went from being affordable to local people on average wages to only being affordable to the army of buy-to-let investors that Nee Labour created.
EVERY government for the last 60 years is criminally responsible for the now ludicrous cost of a home.
March 28, 2021
Mark,
Not going to happen with this govtâs lunatic non energy policy. Storm 2 cracking on to help German manufacturing as is the 28 coal fired power stations. JR, forgets the energy required for any manufacturing industry. As former head of US intelligence make clear, Chinaâs plan is to rob- steal intellectual property, replicate, and replace with cheap slave labour.
Ironically JR wanted to know views about China knowing the Paris Agreement helps to transfer jobs from the west to help this tyrannical govt which has an endless list of human right abuses and has put two fingers up to the UK over Hong Kong treaty! Remember all the hubris about not fulfilling international treaties when it came to the EU, what rot from May and remainers.
March 28, 2021
I saw a cartoon of a British steel worker carrying an RSJ with a boot stomping down on it, with the comment saying they are having to carry energy cost that are 60 to 80% higher than their competitors.
I fear Johnson’s Government would happily sacrifice what remains of our industrial capacity if it gets him a few brownie points in the Glasgow COP conference.
March 28, 2021
+100
March 28, 2021
Exactly.
March 28, 2021
Mark B
Exactly, the biggest problem with the direction being taken it is a steep road downhill. No brakes or run off lanes.
When will someone, anybody within the cabinet blow the whistle, take time out to actually stop and think of consequences.
March 28, 2021
I don’t know about Japan, but in the UK once you have paid your workers enough to pay their council tax and mortgage (on properties they have to compete with investors to buy) after their income tax and NI has been deducted, and then the company has to pay its own NI, business rates and corporation tax, it’s a surprise anyone would consider making stuff as a way to make a living. It does seem from programmes like “Escape to the Country” that the people with piles of spare cash haven’t made it from manufacturing.
You’re right with us going in the wrong direction. The government have planned to make it even more difficult by raising corporation tax soon. Can we have a reduction in employer’s NI to compensate? No chance.
March 28, 2021
Yes Corporation tax at 25% is the reverse of why we voted to leave the EU.
March 28, 2021
Indeed. We also have the sword of Damaclese hanging over likely further rises in Capital Gains Tax and annual allowances. This Government is anything other than conservative.
March 29, 2021
Given the Covid costs – I think it might be somewhat understandable that some things have changed…..
March 28, 2021
Indeed we need to be competitive which means far, far less state, far fewer regulations, no green lunacy, lower taxes, far simpler and less restrictive employment laws, no waste like HS2, farcless government corruption and crony capitalism, no war on plant food or renewable subsidies & no more soft loans for worthless degrees in largely worthless subjects – let people fund their own hobbies. Boris and Sunak have alas become (or perhaps always were socialists) their agenda is the complete opposite. There agenda will not work only just over three years to the next election too.
Sunakâs very first act was 90% cut in entrepreneurs tax relief his second budget a vast increase in taxation to deter inward investment and encourage people to leave the country. He even want to tax some people to buy others restaurant meals. Economic insanity from the man. PPE Oxon yet again!
March 28, 2021
Taxes in Japan slightly over 30% of GDP in the UK we are heading for well above 40% of GDP. Rather better healthcare too it seems – deaths per covid case UK 3%, Japan 1.9%. Covid deaths per million population UK 1,857, Japan just 71.
March 28, 2021
There are no ‘Covid cases’. I think you mean PCR positive test cases, who may or may not have had Covid.
There are no ‘Covid deaths’. I think you mean people dying after a PCR positive test result in the previous 28 days, who may or may not have had Covid, which may or may not have killed them.
The WHO has stated that the PCR procedure is by itself not a reliable diagnostic test. That matters.
March 28, 2021
So why were the mortuaries and crematoriums so overstretched then?
March 28, 2021
We had the same number of deaths over a year but they were compressed into short waves. The Nightingale units were empty, not enough qualified staff.despite massively over-subscribed training courses over last few years.
March 29, 2021
Because mortality rates have clearly been higher during the pandemic – no doubt of that.
However, we still have the key question of “died of Covid” versus “died within 28 days of a positive Covid test”. There are also reports that some who passed away were certified as having had Covid when there was no evidence of such. Unfortunately, it may have been simpler for a Doctor to tick the ‘Covid’ box on the death certificate and move quickly on to their next patient. Understandable but not necessarily good for accurate reporting.
I’d prefer to discuss the mortalities above the national five year average to try to understand the impact of Covid.
March 28, 2021
The WHO assertion is total nonsense . Licking a finger and waiting to see it it turns green is not a reliable diagnostic test..
March 28, 2021
Well LL , having visited a few times, Japan is a wonderous place to behold and very street safe. It is also very beautiful in places too. However I would find it a mentally stiffling place to live, perfect though it undoubtedly is for the japanese.
March 28, 2021
I have never been yet alas, though my son has and was impressed.
March 28, 2021
+1
March 28, 2021
Smarter than reducing the minimum wage, which will produce significant political backlash, is to keep going for manufacturing that reduces the proportion of labour in production. Robots don’t demand minimum wage, nor do they go on strike, but they do increase corporate profits that Government can tax.
And it is no longer a question of “do they work?” Robotics in manufacturing is now a known technology, so it is mainly a question of giving business help and incentives to get them to invest.
March 28, 2021
Or the government could stop trying to force us into electric cars and leave us to make the transition when technology is good and ready. Every bit of ‘good’ that this country is planning to do, at vast expense, will be undone by China. ‘Net Zero’ just hasn’t been thought through and that’s one of the reasons I will be spoiling my ballot paper in May.
March 28, 2021
Spoiling your ballot paper. Eh? Guess that will have them shaking in their boots.
March 28, 2021
Why spoil a paper whether at local or national? Why not see if there is any non-Tory/lab/lib/green candidate first?
March 28, 2021
+1
March 28, 2021
That is what I’m doing Caterpillar. Voting for just about anyone other than lib/lab/con/green.
We voted Con to get brexit done because there was no alternative. Con have made a complete cock up over covid. They have used it to impose a dictatorship which is the spitting image of that in the country where covid originated.
The green crappery is also unforgiveable. It threatens to destroy what is left of our productive capacity.
A local elections kick up the backside is the only protest we have.
March 28, 2021
+1
March 28, 2021
+1
March 28, 2021
You mean allow ‘market forces’ to dictate what we buy and sell – what a novel idea, I believe the Tory Party tried that in bygone times, but the leadership didn’t like the idea of the people having choice
March 28, 2021
Frankly Glen I doubt the government ever had the whit to think about it.
March 28, 2021
++
March 28, 2021
Much as I liked the Hondas I owned, they did all that was asked of them, and never caused me any headaches. They did however become relatively expensive alongside equally good other japanese manufacturers. Six years of a Nissan 300ZX in the 90s convinced me that their Qashquai was good choice for my life now.
I can understand the confusion in the car industry as a whole, having been directed by ignorant politicians to go 100% electric. This is a chaotic shambles in waiting for all the reasons we have already covered. Government should have said, these are the emmission targets we wish to achieve, you the car industry come up with viable solutions. I think our government have sown the seeds of the death of automotive manufacture in the UK. We will just become an importer of whatever is produced in other parts of the World. I despair that we allow idiots so much say in our lives and the future of GB LTD.
March 28, 2021
Agricola
Very sad but so true. The way this government is rapidly losing control of supporting key sectors of our key industries is a tad frightening.
March 28, 2021
But the odd thing is that the car industry seems to have embraced electric cars, presumably because all Western governments favour them. The UK government simply doesnât care about manufacturing given it knows ever increasing energy costs through electrification are decimating both the car industry and whatâs left of steel making
March 28, 2021
@agricola; “Government should have said, these are the emmission targets we wish to achieve, you the car industry come up with viable solutions. “
Which is exactly what govts have been doing since the 1970s!
“I think our government have sown the seeds of the death of automotive manufacture in the UK.”
Already sown, and harvested, decades ago. When our then govts (even as late as 2005) chose to allow market forces to decide such fate, on the other hand Germany carried on as they had been since 1945, whilst France actively stepped in to protect theirs.
“We will just become an importer of whatever is produced in other parts of the World.”
Oh you mean like what happened with our computer (hardware) industry, we expected ours to survive in the market place when other countries either put undisguised state investment into theirs or financed them via defence requirements contracts etc that specifically excluded involvement from competing countries – Silicon valley, for example, wasn’t built on the needs of the business computer but the needs of NASA and the Pentagon.
“I despair that we allow idiots so much say in our lives and the future of GB LTD.”
Indeed, just a pity that it has taken some people 30 – 40 years to wake up!
March 28, 2021
more like 50 years but then clearly the most important thing for our economy is property development and city trading, all other endeavours are of no consequence to the “true” conservatives.
March 28, 2021
+1
March 28, 2021
I will keep my ancient VW Golf Cab and Volvo V70 until they die or until Government ban them. Greener than buying new cars and far cheaper to run and insure (with virtually no depreciation left and no financing costs). Far better range, refuel in seconds, tow things, put the roof down …. Better and more flexible cars in so many ways than new electric cars costing ÂŁ35k to ÂŁ80k+. Could both do with a good clean though.
March 28, 2021
Yes, I’ll run my petrol car for as long as possible. I worry how long that will be though. Will it still be possible to get it repaired?
March 28, 2021
Supplementary Question.
Why do we allow Parliament and Government to direct the automotive industry when their experience is limited to driving the product. What do they know about the latest ICE technology, hydrogen propulsion, or even the full impact of 100% electrical propulsion. Had we allowed these self same experts to develope a covid vaccine we would in all probability be dead by now. They remained clear of such challenges because even they realised they knew diddly squat on the subject. What makes them think they know anything more about propulsion technology.
March 28, 2021
Politicians where the driving force behind the push for diesel a number of years ago, but reversed their approach in the face of the media and the green lobbyistâŠ.again theyâre so confident of their electric position â their conceit is unbelievable
March 29, 2021
You could ask the same of any topic and indeed of any commenter on this blog.
March 28, 2021
I do believe that Nissan engines are now made by Renault.
March 28, 2021
Good Morning, Sir John,
On Friday, I thanked you wholeheartedly for voting against the extension of the powers of the Coronavirus Act, and I asked (admittedly somewhat without hope) how else we could work towards getting these restrictive measures removed.
I have since learned that the Government has invited our comments on an: ‘Open Consultation. COVID Status Certification Review Call For Evidence’.
This I know is off-topic, but I would ask you to please allow me to inform your readers here of the link to this open consultation, so that as many people as possible can express their feelings about what amounts to a review of the introduction of COVID Status ‘passports’.
https://www.gov.uk/government/consultations/covid-status-certification-review-call-for-evidence/covid-status-certification-review-call-for-evidence
The deadline for comments is 11.45pm tomorrow, 29/3/21. (Comments can be submitted easily, by e-mail.)
Thank you.
Mary M.
Reply I did invite people to comment on this in a prior blog
March 28, 2021
Thank you.
Mary M.
March 28, 2021
Exactly and electric cars save little or no CO2 anyway. When horses were replaced by cars there was no need for governments to force this change. When new technology works and is economical people will buy it without tax payer bribes or laws banning horses. The war on CO2 plant food is largely an idiotic religion, especially as electric cars make little or even no CO2 savings anyway.
A recent Spectator podcast, âAre we there yet? Realising the future of electric carsâ, show the appalling ignorance of Grant Shapps HND business and finance Manchester Poly the Transport Sec. a previous one âThe Saudia Arabia of windâ did the same for Kwasi Kwarteng (history Cantab). Can we have some decent engineers and physicists in charge please who know what they are talking about. Get Lords Lilley, Matt Ridley and Lawson to advise.
March 29, 2021
None of the persons put in charge to advise by LL is either an engineer or a physicist. The closest to such a thing is Viscount Ridley a published Oxford PhD zoologist and subsequent author on biology-related topics, but Baron Lilley with a U.Cambridge in economics having originally worked as economic adviser to developing countries and Oxford PPE Baron Lawson of Blaby do not look (at least to me from their Wikipedia profiles) as decent engineers or scientists with any professional experience.
Why these people should be any better than Grant Schapps or Kwasi Kwarteng is beyond me, specially after seeing what those people (Lords L, R and L) have been able to achieve in politics in the last 30-40 years.
Anyway I find the way LL is stuck (even more so than the EverGiven ever was) on the degrees that people got 10, 20 or more years ago absolutely hilarious. The guy seems to think that whatever a person does when they are around 20 defines them for the rest of their life, and that one cannot change/improve/deteriorate later in life. Ever heard of a Mr Darwin and his Theory of Evolution?
March 28, 2021
It is clear that lock down is over as far as The People are concerned and whichever way the politicians vote. I travelled on packed trains yesterday.
Like me, fellow passengers have had enough. What’s the point of a vaccine roll out if we are not freed from house arrest ?
We are at a tipping point where the police and the Government may be about to lose all credibility and authority. In particular the recent murders and sexual assaults committed by policemen have brought the service into grave disrepute – this on top of the unequal treatment of BLM protests over freedom protests and the mistreatment of eminent public figures in trumped up paedophile cases. They are unworthy of our respect and obedience. â
Boris had better pray for a wet summer rather than talk to gloomy scientists.
March 28, 2021
Nothing can stop what is coming, Nothing
March 30, 2021
What a comet? an asteroid? a zombie apocalypse? the second coming? the realisation of the hidden Torah code? or that of a Nostradamus prediction?
Could it be some little grey cells getting overly worried?
March 28, 2021
Can you imagine having an electric car in the USA.
Commuting distances are vast compared to Europe so you woudhave to charge midway to work.
I think Americans will be very resistant.
March 28, 2021
Honda left because of Brexit.
The food and drink industry has suffered an exporting calamity because of Brexit.
Touring musicians have faced a calamity because of Brexit.
The fashion industry has suffered a calamity because of Brexit.
Fishermen have suffered a calamity because of Brexit.
Financial services have suffered a calamity because of Brexit.
British expats (immigrants) are being deported from Spain because of Brexit.
Etc etc etc. There are plenty more.
None of this is project fear. All of this has happened.
Why are you all of you too gutless to admit it?
March 28, 2021
Do not forget to add: –
Those with Remoaner Derangement Syndrome have suffered a calamity because of Brexit.
(The poor souls see everything through the prism of Brexit and Brexit through the prism of despair. A few can lead outwardly normal lives most of the time but recovery is quite rare.)
March 28, 2021
+1
March 28, 2021
Totally agree
Brexit is becoming more toxic by the day, and I see labour want to change course to support a EU Customs Union and free movement agreement
March 28, 2021
And we have to listen to you every day because of Brexit. Makes you think, eh?
March 28, 2021
Andy. I can’t understand why you did not leave because of Brexit. The Referendum was in 2016 wasn’t it? And you have a property in France. What stopped you?
March 28, 2021
They wouldn’t tolerate his constant whinging in France…
March 28, 2021
The vast majority of UK industries were destroyed whilst in the EU. We didn’t have to hold our hand out for foreign manufacturers to locate their plants here – we had our own !
March 28, 2021
And in other news our submarine programme that is umpteen years late and over budget, thatâs a surprise, has come up with a revolutionary concept. Know what you are building before you start.
March 28, 2021
I agree that car electrification is going to adversely affect car production and therefore cost of the car.
Unfortunately, challenges to the âgreenâ agenda and the massive costs of it all is a bit slow still. ÂŁtrillion yearly, and ten of thousands pounds to householders is being held back from the public. The Global Warming Policy Foundation are researching extensively and are revealing true costs are being concealed. It took two years, using a freedom of information request, to discover the true cost to the UK.
And the climate change agenda will be at the expense of the environment.
March 28, 2021
Sharon
When people apply common sense and constructive arguments all governments suddenly develop terminal blindness and deafness.
March 28, 2021
…..all based on unproven science. Total madness.
March 29, 2021
Arrival are building delivery to be cost neutral compared to existing ICE vans but the EVs will be significantly cheaper to run in terms of maintenance and fuel costs.
Have you noticed the significant increase in fuel and maintenance costs of ICE vehicles over the years?
March 28, 2021
Off topic but current, our block grant to Scotland is ÂŁ30 billion plus. Forget what we have saved from the EUâ the sooner we allow Nicola Sturgeon to b off the better, in fact I for one would give her a nudge.
March 28, 2021
I wonder if the blockage that has occurred in the Suez Canal will make the Japanese regret their decision? Bigger and bigger container vessels (as would be required for major vehicle exports from Japan) bring their own problems, and of course are hardly very ‘green’.
A close friend (who was a senior container ship captain until recently) predicted all the current problems that are facing the Suez ship on the first day the problem was reported. Although the ‘obvious’ solution is to send the ships around the Cape, firstly most of the harbours are not big enough to cope with such vast vessels, and secondly they are in very poor condition, as has been reported in today’s Times of South Africa.
March 28, 2021
Electric cars are just another scam. You cannot make a battery powered vehicle that is as long lasting or quick to refuel as a petrol or diesel powered one. There are no enough solar panels or windmills on the planet to run them. It is impossible to run an economy on electric vehicles. Sadly a combination of greed and scientific ignorance is pushing us towards yet another government created disaster.
March 28, 2021
Lisa
+1
March 28, 2021
+1
March 28, 2021
Correct
March 28, 2021
This is a warning to all prospective manufacturers and entrepreneurs.
Donât start a business.
Eventually ( and I speak as one who knows) you will be screwed by globalists/governments.
Historically Swindon could tell you all about that!
Global bodies âencourageâ countries to sign up to things like the Paris Climate,
And that pulls the rug away from under whole industries…like the legacy car manufacturers.
Obviously this is what everyone wanted?
March 28, 2021
Agree – the days of british invention and built in a shed are dead
March 31, 2021
No they aren’t and such defeatism is of no help.
March 28, 2021
Honda moving because of government green policy on Cars.
The Green Insulation scheme being withdrawn and stopped this week, because it is not working due to the way Government set it up.
This shows both sides of Government incompetence, and is all you need to know about the way politicians get it absolutely wrong by trying to think Green, when they have not a clue about engineering, production or human nature.
How many more businesses are going to fail because of government policy over this race to go green.
A bit like the eat out scheme in the middle of a pandemic !
March 28, 2021
Yes and flammable materials on high rise buildings!
March 28, 2021
Very much agree with you, Alan Jutson, on the green crap, but not on Eat Out. To be fair, the scheme was introduced when even on the government’s dodgy figures the Covid numbers had fallen to very low levels. It was the height of a mainly warm dry season when a virus doesn’t spread anyway. I don’t shill for the government or Rishi Sunak, but those are the facts. Sunak was doing his best to bring some life back into the hospitality industry, which goodness knows needed it. Let’s give him credit where it’s due.
March 28, 2021
Philip
I am all for helping any industry get back to normal, but was the eat out scheme really the best way, at 50% off up to ÂŁ10, all it was ever going to do was increase the low priced fast food sector, which normally has the greatest amount of fat included in its content, hardly a great help to the NHS when most of the population are overweight to start with, and it already has a huge waiting list.
Surely there were better ways to spend the taxpayers money.
March 28, 2021
Alan Jutsom
How many business’s will fail over green policies?
Thousands. It has been well documented for years about the impact of green policies on jobs all across the world.
Do our politicians ever read or listen?
NO. The few that do are banished to the back benches.
March 28, 2021
You could say there was an additional reason: POLITICS
We should allow technology to drive change then we will know that the component parts are in place.
Green politics are a recipe for chaos to come.
March 28, 2021
Spot On
March 28, 2021
+1
March 28, 2021
Why would anyone invest huge sums in uncertain technology based on a government’s say so? Especially from a government that gives a impression that it has difficulty distinguishing the difference between its arse and its elbow. Battery technology is still evolving, capacity to replace current demand is non-existent, the future tax regime for BEVs in unknown (it won’t be unaffordable subsidies) and we have yet to hear how government intends to replace lost duties on petrol and diesel fuel sales. There will be more closures. JLR has already announced it will stop building cars at Castle Bromwich and reduce its production capacity. I will not be surprised if there will be more such announcements to come.
March 28, 2021
+1
March 28, 2021
This story is more about Swindon than Honda. Poor unlucky Swindon. It reminds me of a young lady who devotes herself to an attractive guy who ages and dumps her. This happens time and time again.
GWR and the rail boom, Plessey in the electronics boom, Raychem, defence, Honda, cars. She desperately needs a reliable partner, long term. She needs to grow roots by building a local supplier base. The omens point to science and engineering. Defence and transport are at its heart. Oddly the ultimate matchmaker, STFC is also based in Swindon. Perhaps those people could come up with a plan?
March 28, 2021
This government can start by stopping yes stop giving assistance, incentives to customers to try and accelerate the switch to this so called brave new world.
Only when the government have convinced the population that the power infrastructure is in place to support such a change, and all the concerns that the man on the street has of the whole process of scrapping ICEs, they might be led down the road .
Stop all this CO2 nonsense of cherry picking the bits that fit the story they are trying to sell. Everything from resourcing materials, production, assembly, delivery and marketing all have a carbon footprint it is not and cannot be judged on just operating energy performance.
I do not recall all this electric car con being part of any political manifesto.
All conveniently hidden under green issues and climate change. When the whole world gets into line so be it. Until then put this country first, second and third. The tax payers do not really ask for much, stop pissing down our necks and telling us it’s raining.
.
March 28, 2021
âThe number of mobility cars on our roads is ever-increasing with an overall increase in new numbers set to reach more than 600 thousand every year according to research carried out by the BBC.â2016. The government could make a sweeping change starting from next month if it wanted to and restrict mobility cars to electric. Only there are only a few low cost models: I have been told to look at Kia; Hyundai; Skoda.
March 28, 2021
If voters asked for less government, less green policies, less tax you just know their reply would be to employ a new department, minister and committee to look into the matter with a suggested continuation budget
March 28, 2021
Indeed. Transferring CO2 from West to East under the guise of climate change. Manufacturing going with it to help our Chinese “friends”. Total fools in charge.
March 28, 2021
I absolutely do not agree with part of your penultimate paragraph where you say that until people buy electric cars freely, the government must subsidise them. This is another scheme for robbing the lower paid tax payers who may well struggle to keep their old cars on the road to go to work in, to subsidise the already well off such as politicians who can well afford to pay the right price on their high salaries and expenses. If the electric cars are too expensive they will fail and that is how it should be. Rigging markets to meet ficticious carbon emissions is not government business.
On the subject of motoring, I hear on radio today that some bright spark suggests that people over 70 years of age, regardless of good health, should have a tracker in their cars to limit them to 30 miles and daylight driving only. Is this a government idea? Do you wish to lose your voters altogether? Younger drivers cause far more accidents, and serious ones at that, through showing off than any 70 year olds. Seems like authoritarianism is becoming more and more an issue. All part of getting ordinary people off the roads to benefit the rich seemingly.
March 28, 2021
graham
I attended a Zoom conference last week about elderly drivers, and the statistics bear out what you say, drivers in the 65-75 age group are the safest group.
Those at greatest/highest risk are younger drivers up to age 25 and those over 85.
Government statistics, the Police, and the Institute of Advanced Motorists will confirm the above.
March 29, 2021
Yes, it’s pretty obvious just from the insurance companies who actually foot the bill for it all. I have just renewed my car insurance for ÂŁ250 fully comp. as against a youngster who is quoted in the thousands. This is just kite flying by a failing government who are bankrupt of any ideas of how to improve their people’s lives and want to tax and legislate away problems they create.
March 28, 2021
Electrification is not a threat to the car industry. It is an opportunity.
Take Tesla. A non existent company a few years ago and now the most valuable car company in the world. Why? It is miles behind on sales.
It is because Tesla makes the best cars. It also sells solar panels and batteries – ways to power those cars.
The second most valuable car company? Toyota. Home of the hybrid. Their products are great – consumers want them.
The issue with electric cars is that the cost is far more front loaded than with petrol or diesel. Electric cars cost ÂŁ10-ÂŁ15k or more upfront. But they cost significantly less to run. Maintenance is negligible, âfuelâ likewise.
We need to work out how to help a consumer with those costs. This car will end up costing you less, even though it initially costs you more is a hard message.
March 28, 2021
So at the end of the day the costs will even out but you still have the problem of how some people can plug in when they live in flats or terraced houses on main roads and the length of time to charge up.
March 28, 2021
that accounts for 2/3s of households in the UK who can’t charge from home
March 28, 2021
China are making an electric car for ÂŁ3200 now outselling Tesla. SAIC Motors, maybe we should attract them to Swindon.
March 28, 2021
My problem isn’t with EVs, climate change, nor reducing co2…….it choice and the lack of choice and our freedom of choice
March 28, 2021
Serbian-American engineer and physicist Nikola Tesla (1856-1943) made dozens of breakthroughs in the production, transmission and application of electric power. Poor and reclusive, Tesla died of coronary thrombosis on January 7, 1943, at the age of 86 in New York City.
Let that be a stark warning to Elon Musk.
March 28, 2021
Toyota are releasing a hydrogen/electric car later this year, soon to go into mass production.
Only problem at the moment, its expensive (Tesla type pricing) and few filling stations in the UK, although there is more in Europe.
March 28, 2021
Why by 2030 though ? (8 years !!!) Canada are giving themselves 28 years.
We all know that ICE cars are going to be taxed punitively by 2030 – they never had to be subsidised as electric does.
March 29, 2021
Do you honestly believe the oil and motor industries have never received support, assistance, loans and grants?
March 29, 2021
Andy, the value of a company is not it’s share price. There are many bubbles with companies ‘worth’ billions without ever turning a profit. Look at the bubbles in the past, quite recently where sharholders got burned whilst the owners walked away with millions. Think of the daffodil bubble as the most famous.
March 28, 2021
This all goes to confirm the view, which I hold, that all this rush to alternative energy has been grasped by politicians because it seems to promise an easy win, without any real thought having been given to the likely consequences along the way. But it is so much easier than addressing the real problems like long term care, the NHS, the educational system, and inner city deprivation.
And as you have touched on in earlier posts, if we are to succeed in the new environment we need policies that will help the enterpreneur, not deterrents like the proposed changes to the taxation system for small businesses.
March 28, 2021
And straight from the pages of the Sunday Times. HMG is considering sending excess vaccines to France to counteract extremist parties. The fear is that Macron has made such a mess that could let in Le Pen and a well placed Whitehall source says âno one wants thatâ apart from the millions of French people supporting her (my words)
So a typical smear.about extremism and with Le Pen being sceptical about the EU, our pro EU civil service and elements of government are going to use our vaccines to influence the election of another country. If the Russians try and influence an election in another country that is not acceptable but if we do it to prop up EU thatâs ok.
As usual contemptible double standards.
March 28, 2021
Ah, but Macron is our friend. Pass me a bucket.
March 28, 2021
The comment I have on your final paragraph is that of course it will be filled with foreign imports. That is the kind of thing your party and government has been encouraging for decades. Sending out the message
overseas, if you have any money we’ll take it no matter what you do here, we are desperate. The prostitution of our country is continuing. We are still for sale and will do whatever you demand.
All talk about FTA’s is deceit, it just means we can import more. What do we make in great volume anyway? Our industry was sacrificed on the basis that City spivs would rake in money instead but the City is now in decline. We can’t start up manufacturing in competition with the EU because ‘Boris’ the cowardly appeaser you seem to respect Sir John didn’t allow that, so we remain under EU control. There was no Brexit.
And so for future cars and the future generally bankruptcy beckons if the present policies and attitudes continue.
When will your party and government stop bending the knee everywhere and to every one to curry favour.
March 28, 2021
Government created the condition and situation
Car manufacturers OEMs will follow the money
The money isn’t in the UK – green grants are in the UK
March 28, 2021
Interesting to note that the new Alba Party of Scotland has more MPs in the Commons than the Green Party
Maybe Boris will follow their policies with the same vigour as he does the Green policies
March 28, 2021
Also interesting to note that itâs more than UKIP/TBP/ReformUK party ever had in the Commons.
March 29, 2021
All to do with the constant negative reporting in the British media foe Brexit and the bias towards crap green issues.
March 28, 2021
This Honda story is a warning to the UK and to other established centres of car production in Europe
This isn’t the warning. That car companies and governments alike are pushing electrification (now) is the warning. This should be the warning to the electorate / population – why are governments and firms alike making this push?
March 28, 2021
It is indeed a warning and I fear our future freedoms
Has anybody else notice in their own life time that while the number of laws and tax continues to increase that our freedoms decrease
March 29, 2021
Yes. All done to protect us. But who is going to protect us from Big Brother ?
March 28, 2021
The reason that Honda car sales have slumped is that they do not make cars that are attractive to European buyers.
If you look at the model range, the styling and design are dire. Only the Honda Jazz is popular, but only with ladies of a certain age and the retired.
I agree with you on the future direction of car production, if it is indeed centred around battery-electric cars.
However, I somehow doubt whether the average buyer can be forced to go down this cul de sac. They will roll on their Diesel, petrol and hybrid cars until the industry comes up with a better proposition, like, for example, Hydrogen fuel cell-powered cars.
March 28, 2021
I knew that Japanese companies would close EU/UK plants as soon as the free trade deal was announced. It was inevitable from that point, because Japan is still an old-fashioned country that puts the jobs of its own people ahead of those of foreigners.
Never mind, I am sure the cheese sales (to a lactose-intolerant population) will make up for it.
My advice is, get this COP shindig in Glasgow out the way, then quietly drop the ridiculous carbon targets. The target is never going to be met anyway. There is zero probability that this country will increase its zero-carbon electricity generation by a factor of 10-20 in the next 9-15 years. It just ain’t gonna happen. This is a country that takes four years to make a short stretch of motorway into a smart motorway (and after all that time does it wrong).
March 28, 2021
‘Quietly drop the ridiculous carbon targets’. What a lovely idea kb. Let Boris enjoy himself there, then all of us forget about it.
March 28, 2021
About a year ago, JCB’s Bamford made the point that vehicle batteries are all made in China and we don’t currently possess that technology (though it does seem ripe for development). They/Wrightbus do make battery buses but are focusing on hydrogen. If we can make green buses we can make green cars. As a country we could do with a bit more faith in ourselves and for the industry to be talked up by influential sources. We should stopp looking over our shoulders and worrying about what the EU thinks and how they will react – we’re scared of our own shadow.
March 28, 2021
Alan Jutsom
How many business’s will fail over green policies?
Thousands. It has been well documented for years about the impact of green policies on jobs all across the world.
Do our politicians ever read or listen?
NO. The few that do are banished to the back benches.
March 28, 2021
@turboterrier; Without knowing the exact cause of the company failure it is all to easy to attribute an incorrect cause. There was a local 150+ employee company that failed, it did so because it relied to much on govt contracts (also failing to invest in production facilities rather than plush management) but I still hear some people insist that it failed because it became obsessed with being a “green company”.
March 28, 2021
@SecretPeople; “If we can make green buses we can make green cars.”
If you mean hydrogen as a fuel, sorry that does NOT follow, there is a lot more usable equipment space within the under-frame area, and elsewhere (such as the roof), of a bus than your average family super mini car. Also what might be cost effective for a commercial vehicle that has a telephone number for a price tag and that super mini are likely to be vastly different.
Also, where are we going to get all this hydrogen, people complain that EVs will need electricity generation capacity the county doesn’t have, but to make hydrogen on the sort of scale needed for it to be a replacement for hydrocarbon powered private cars we are likely to need just as much, perhaps more – and then there is the infrastructure.
March 28, 2021
Nissan remains in Britain because it can 1. still turn a profit.
2. The Sunderland plant is one of the most efficient plants in the world, due good investment and a flexible workforce.
Our employment laws are weaker than Europe’s, and much cheaper to get rid of employees.
4 We work longer hours than Europeans.
5 Nissan hopes we can get a deal with America, then produce cars for America at Sunderland = lots of profit.
6 Europeans car workers go on strike more than British car employees. Sunderland Nissans employees never been on strike.
March 28, 2021
Interesting to note that none of the Arab or Muslim countries are speaking out about the Uighurs bad treatment by the Chinese government not even Turkey” it is being totally left to the Western countries to condemn.
Again interesting that none of the other SE Asian countries are speaking out about the army shooting of civilians in Myanmar
Aldo none of the Muslim Arab countries condemned the bombing of the Yemeni people by Saudi forces
Then as regards the Rohinga only Malaysia speaking out expressing concern
Please let me know if I am wrong
March 28, 2021
I’ll try again Sir John. Have you taken a look at the Sunday Times front page today?
Worthy of interest or instant move for the delete key?
March 28, 2021
@Fred.H; A nest of Viper are best left undisturbed, you never know how many you’ll disturb, nor how large some might be, even worse, some might come back to life and bite even though they look long dead…
March 28, 2021
Perhaps the message is that the conventional automaker plant. equipment and approach requiring billions and many years to build a manufacturing facility, needing 100’s of thousands of sales to cover the associated finance is not appropriate for our circumstances. Perhaps the Arrival approach of microfactories is the answer, being able to setup a vertical fabrication facility in conventional warehouses close to the target market requiring less time, orders of magnitude less funding and so orders to break even.
March 28, 2021
As far as I could find out, Arrival will concentrate on small electric delivery vehicles and electric buses, likely to serve a radius of a few tens of miles. It has the support of BlackRock, Hyundai-Kia and United Parcel Service (Europe). First vehicles are supposed to be available by end 2021-beginning 2022.
March 28, 2021
Yes, they are focusing on delivery vehicles, fleets then individuals and have recently signed a contract with UPS for 10,000 vehicles and trialing a bus with First Bus this autumn.
It is the manufacturing process I find intriguing – no welding, no paint shop and the result is a vehicle that is easy to maintain and has price parity with existing fleets but a significantly lower opex. The bodywork is a composite that can be ground up and reused so reducing the cost of vehicle lifecycle – apparently the majority of delivery vehicle damage happens at the depot so they are also looking at autonomous systems for just that part of the vehicle activity. This vertically integrated microfactory approach makes for responsive vehicle production that is not limited to mega-corporations and has relatively modest financial and property requirements.
Another advance in British EV production is by Advanced Electric Machines – traction motors that are lighter and more powerful than traditional ICE motors and don’t use rare earth magnets, just steel.
The days are numbered not just for conventional ICE vehicles but also the production process that effectively hasn’t changed since Henry Ford.
March 29, 2021
Perhaps my original reply was too long .. yes Arrival are focused on delivery vans, a market the needs to be served but is ignored by most EV suppliers and they have a first contract for 10,000 vans from UPS. The interesting aspect is the manufacturing approach which could be applied to other vehicle types – no body shop, no paint shop, composite panels for durability and recyclability. Another British innovation is from Advanced Electric Machines – electric motors that outperform ICE and have no rare earth components.
Rather than mourning the loss of a follow the crowd, foreign legacy manufacturing we should be encouraging, supporting and celebrating these new ideas and initiatives that offer a way to grow global market share.
March 28, 2021
There are too many serious difficulties starting to build up because of Brexit.
Electrification of cars is at the heart of the new generation of car manufacturers.
I am of the opinion Vauxhall is the next to go and others will follow.
The EU has a strong manufacturing base so imports will be the future choice for a wide range of products.
March 28, 2021
@David Brown; Vauxhall might well follow, given who now owns the brand [1] and the spare assembly capacity across the EU. But such a move by the new owners could actually do the UK a favour, assuming the govt doesn’t allow ideology to get in the way, whilst the UK can not stop a factory closing, nor the removal of a companies IP, what then happens to a building and its workforce can be a matter for govt.
[1] Stellantis N.V., 50/50 owned by The French PSA group and the Italian Fiat Chrysler group
March 28, 2021
SecretPeople
Scared of their own shadow.
That is the result of successive governments trying to be all things to all nations and please everybody.
Not one gram of real backbone.
March 28, 2021
The U.K. Government SHOULD NOT BE FORCING THIS TRANSITION ONTO THE HOME MARKET.
I wish you could persuade them to change course. Or somehow force a change of UK Government!
However, in the meantime keep plugging away at ‘them’ to somehow make it feasable, for UK to manufacture EVs, including the materials needed for the batteries. Just think of the kudos gained if Tories re-industrialise the ‘red wall’ areas!
Even better if we then exported them to the EU.
March 28, 2021
19 deaths recorded today â can I have my freedoms reinstated
March 28, 2021
@glen cullen; “can I have my freedoms reinstated”
No, well not yet!
Recorded deaths are always low over the weekend due to record offices being closed, but more importantly the death rates are low because of the lockdown, not in spite of it. With most under 50 year olds not vaccinated yet any opening up of some parts of society and economy (pubs, music venues and tourism, for example) will likely see further spikes, as has been noted in schools with the 11-16 year age groups.
March 28, 2021
Almost certain to have been more killed in RTAs (road traffic accidents).
Probably more deaths as a result of falling over, falling off ladders.
March 28, 2021
Honda makes petrol and diesel cars
Petrol and diesel cars are soon to be illegal in the UK
Why would Honda maintain a factory which makes things that cannot be sold in the UK?
March 28, 2021
With the covid crisis hitting the private sector; this is just another blow to the employees of the car manufacturers OEM, its supply chain and ancillary industriesâŠ.its getting tough out there and this government isnât helping
March 28, 2021
EVs are so much simpler than ICEs that they will become cheaper to build and maintain and this alone will inevitably reduce the size of the motor industry.
One of the current unknowns is whether there will be found sufficient supplies of the new materials needed to convert to EVs.
Our choice of whether to pursue battery storage or hydrogen should be based upon which technology leaves us less exposed to China.
March 28, 2021
Your arguments are good arguments however they only apply because of a decision made by a small number at cabinet level of our government i.e the ban of ICE by 2030
If that decision is reversed then the whole argument is academic â this government has initiated this problem, which could easily be resolved by its reversal
March 29, 2021
The UK already manufactures high performance electric motors that don’t use rare earth materials and Lithium based chemistry is not the only approach to batteries, Zinc-Ion looks promising, works in a similar way to Lithium but is far safer and easier to work with than Lithium.
Zinc is mined all over the world though currently the primary sources are China, Australia and Peru. Clearly, yet another reason we need to ensure the security and integrity of our kin in Australia.
March 28, 2021
There will always been more than a one reason when 3500 jobs disappear but for John Redwood to claim Brexit is not threat to the car industry is surreal
Brexit caused an immediate and complete collapse in investment and a 14 % drop in production up to 2020. The Brexit Governments best friend, Covid 19, obscures the story since, but car production is now 920,928, the lowest level since 1984.
Honda, like most UK motor manufacturing, was attracted to the UK as an entrance to Europe and was based on European sales and supply chains. Margaret Thatcher who put the single market at the centre of the UK`s pitch to Japanese investment While the 10 % tariff was avoided the additional costs, â…can be high single-figure percentage,â said SMMT Chief Executive Mike Hawes, on the existing deal.
For safe seat MPs, costs are paid by someone else, jobs are for life, and there are no competitors. Our commercial world is one of change and constant reinvention. The Brexit State have made the worst place in, Europe from which to sell to Europe, end of . So where are the new factories, where the New Insurers, the new Media companies coming from?
Reply The big change over that period was the pressure to stop buying diesels
March 29, 2021
@Newmania; “Brexit caused an immediate and complete collapse in investment and a 14 % drop in production up to 2020.”
That is as daft as someone telling us back in 1978, at the hight of the IMF crisis – Joining the EEC caused an immediate and complete collapse in investment and a 14 % drop in production up to 1977. No one is doubting the economic problems of 1973-8 period but to blame it all on joining the EEC, would that really have washed?
There are many reason why investment collapses, or indeed people change their car buying habits [1], some will no doubt have been due to EEC/EU issues but many, if not most, have no common or single identifiable cause.
[1] the British sales of non UK made cars, especially those from Europe, had been increasing before we joined the EEC, they did not increase simply because we had joined the EEC for example
March 29, 2021
Its government intervention that screws things up – please just leave the markets alone
March 28, 2021
I think that this is one to watch carefully. UK deaths per day from Covid are now down below 20, and new cases are in the very low thousands.
However, in the EU with its very slow vaccination program and equally low takeup rates – which must have a lot to do with European politicians smearing the AZ vaccine as dangerous and ineffective – over three *thousand* people a day, or 20,000 a week, are dying and the rates of new cases are about the highest in the World.
The EU has quite explicitly said that it is considering vaccine trade sanctions aimed at any country with high vaccination rates, so I think we can look forward to an EU campaign of blackmail, obstruction, and outright seizures of vaccines, disguised as “solidarity” or “the letter of EU law” and with the full support of the EU Fifth column in the UK.
I hope that the Government is prepared for this, and if they aren’t, maybe they should be warned what is coming. We will be dealing with unscrupulous EU officials who are facing the effects of their own incompetence and complacency. That’s not a good prospect.
March 28, 2021
Please also question why the Dacia Spring Electric is ÂŁ20,000 yet the almost identical Renault Kwid and Tata Nexon EV are âŹ14,000 and âŹ8000 ewuivalent in India! Some mark up for the EU & UK markets.
March 30, 2021
How do we retain the manufacture of Japanese designed cars by Nissan in the North East and by Toyota in Derbyshire? Possibly by imposing a temporary 10% tariff on cars imported from Japan and using the receipts to build several electric car battery gigafactories in the UK. Does anybody know if the UK has the raw materials needed to make electric car batteries? I’m told that battery technology is changing all the time.
I think that the only fillip we need to give to electric car production is do designate parking areas for electric cars only in our towns and cities; there must be some method for lovely Rita metre maid to tell if a car is electric.
The distribution, power and charging time of charging points should definitely be left to market forces. A month or so ago, my newspaper published costs of charging a Tesla car. It was approximately ÂŁ14 to charge it at home, with charging costs at other locations varying up to ÂŁ200 – there are about seven different suppliers. This is an immature market that will settle down, probably to one price for slow charging and a higher one for fast charging.