Brexit, Stellantis asks to review the agreements with the United Kingdom – Corriere.it

The Stellantis group has asked the government of Great Britain to renegotiate Brexit-related agreements otherwise it will be forced to close its plants across the Channel. The automotive group which also controls Fiat owns plants in Ellesmore and Luton in England they produce vehicles under the Vauxhall brand. Stellantis, as the British media point out, is the first company to ask to review the Brexit agreements. Divorce from the EU, moreover, is increasingly being questioned: even Nigel Farage, the prophet of the divorce between London and Brussels, admitted two days ago that the operation is proving to be a failure.

Returning to the Stellantis case, the demand linked to the production of electric cars which Vauxhall had to orient on If the cost of manufacturing electric vehicles in the UK becomes uncompetitive and unsustainableoperations will close, the automaker said in a document presented to a committee of the House of Commons.

The crux of the matter lies in the rules of engagement established with the entry into force of Brexit. In the case of vehicle manufacturing, these – as of 2024 – they will have to have at least 45% of the value of its components manufactured in the UK or in the EU. But in the case of the electric car, the batteries mostly come from Asia and risk throwing the 45% criterion off balance. If this rule is not met, cars manufactured in Great Britain and destined for the EU market will have to subject to a 10% customs tariff. A factor which, in the opinion of Stellantis, risks putting the production of Ellesmore Port and Luton out of the market.

Approximately 2,200 people currently work in the two British plants whose future would consequently be at risk. To strengthen the sustainability of our UK manufacturing facilities, the UK needs to riconsider its trade agreements with Europe continues the document sent to the House of Commons. The need to review the agreements between London and the EU was immediately underlined by the Opposition Labor Leader Keir Starmer: The UK needs to improve its existing Brexit trade deal with the European Union to have a closer trading relationship. I don’t think we should rejoin the EU n in the single market. But I think we should break down some trade barriers.

Skepticism towards detachment from the Union, moreover, is mounting in the United Kingdom. Brexit has failed the lapidary verdict pronounced by Nigel Farage who was the promoter of that tear. Blame the conservative leaders, he added in an interview with the BBC. In addition, a survey released last January pointed out that 65% of British voters would like to repeat the consultation on Brexit.