Honda to shut UK car plant in 2022 with the loss of 3,500 jobs

[keemapoot]

Just now, sanemax said:

If Brexit came into the equation , if their decision had anything at all to do with Brexit, they would have waited a few more weeks to see the outcome and THEN made a decision .

   The fact that they decided a few weeks BEFORE Brexit , shows Brexit had nothing to do with their decision 

Large companies do risk assessment in their strategic planning. They absolutely factored Brexit into this decision and decided that on balance, the UK was no longer attractive. This decision was a long time in internal analysis, and absolutely Brexit was a factor.

[Anythingleft?]

Large companies do risk assessment in their strategic planning. They absolutely factored Brexit into this decision and decided that on balance, the UK was no longer attractive. This decision was a long time in internal analysis, and absolutely Brexit was a factor.

So nothing to do with the factory running at half capacity for a while then or even the recent EU trade deals, all their production will go back to Japan for all European market vehicles in the near future... they, like many other countries, actually take care of their own interests first

I really wish the UK did....

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[keemapoot]

Just now, Anythingleft? said:

So nothing to do with the factory running at half capacity for a while then or even the recent EU trade deals, all their production will go back to Japan for all European market vehicles in the near future... they, like many other countries, actually take care of their own interests first

I really wish the UK did....

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It's simple really. The reason Thailand is a hub of automobile manufacturing in SE Asia is that the Thai government created an ecosystem of incentives for Auto companies to locate here, together with incentives for auto parts companies to do the same. At the same time, they created very high tariffs for those who didn't locate here.  Honda was going to use the UK as its gateway into Europe. Brexit killed that idea.

 

So, my guess is that Honda has been gradually shifting away from the UK operation for a long time, and switching production. They were probably awaiting the outcome of the EU-Japan trade agreement. Again, certainly Brexit was a factor in their decision, and had their strategic planning department not included such an analysis and its implications they would surely have been fired.

[Basil B]

3 hours ago, Bluespunk said:

Justin Tomlinson, a Conservative lawmaker for Swindon who voted for Brexit in 2016

 

 

Keep telling yourself that, Justin...

 

You never know, if you keep repeating it, you might actually start to believe it.

Well come the next GE he will find out how big the queue is at the Swindon Job Centre+

 

[welovesundaysatspace]

13 minutes ago, Anythingleft? said:

they, like many other countries, actually take care of their own interests first

I really wish the UK did....

Never gonna happen. That would mean ditching Brexit and rebuilding the relationship with Europe that has been destroyed over the last 2-3 years. 

[Basil B]

Quote

Iain Duncan Smith has claimed it is “ridiculous” to “go on about” job losses feared to happen under a no-deal Brexit. 

The ex-work and pensions secretary said during an LBC interview on Saturday “not a single job will be lost” should Britain crash out of the EU without a deal on March 29.

 https://www.huffingtonpost.co.uk/entry/iain-duncan-smith-claims-it-is-ridiculous-to-go-on-about-jobs-amid-no-deal-brexit-fears_uk_5c336039e4b0bcb4c25e2c49?7r&utm_hp_ref=uk-homepage&guccounter=1

Wonder when he will concede and eat his hat??? 

[sanemax]

7 minutes ago, keemapoot said:

Honda was going to use the UK as its gateway into Europe. Brexit killed that idea.

Japan recently signed trade deals with the E.U , therefore Honda now has no need to build cars in Europe , thats why Honda moved their factories back to Japan, rather than to another European Country

[Anythingleft?]

Never gonna happen. That would mean ditching Brexit and rebuilding the relationship with Europe that has been destroyed over the last 2-3 years. 

I dont believe that being under the rule of the EU is the best for the UK, thats another debate though..

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[stevenl]

31 minutes ago, sanemax said:

If Brexit came into the equation , if their decision had anything at all to do with Brexit, they would have waited a few more weeks to see the outcome and THEN made a decision .

   The fact that they decided a few weeks BEFORE Brexit , shows Brexit had nothing to do with their decision 

Brexit has brought uncertainty, which will continue way after march. Established companies don't like uncertainties.

So yes, Brexit could and probably will have played a part in the decision process.

[keemapoot]

Just now, sanemax said:

Japan recently signed trade deals with the E.U , therefore Honda now has no need to build cars in Europe , thats why Honda moved their factories back to Japan, rather than to another European Country

Yes, of course. The reason Japan pursued that deal was because of Brexit. It originally had planned to use the UK facility as its European production base. With Brexit, that deal was a no go, and rather than duplicate additional investment elsewhere in Europe, they just did the EU-Japan deal.  UK shot itself in the foot.

[Anythingleft?]

It's simple really. The reason Thailand is a hub of automobile manufacturing in SE Asia is that the Thai government created an ecosystem of incentives for Auto companies to locate here, together with incentives for auto parts companies to do the same. At the same time, they created very high tariffs for those who didn't locate here.  Honda was going to use the UK as its gateway into Europe. Brexit killed that idea.
 
So, my guess is that Honda has been gradually shifting away from the UK operation for a long time, and switching production. They were probably awaiting the outcome of the EU-Japan trade agreement. Again, certainly Brexit was a factor in their decision, and had their strategic planning department not included such an analysis and its implications they would surely have been fired.

Brexit had nothing to do with the EU-Japan trade deals I am sure

They would have moved production back even without Brexit because the EU trade agreement is a better deal for them...

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[keemapoot]

Just now, Anythingleft? said:

Brexit had nothing to do with the EU-Japan trade deals I am sure

They would have moved production back even without Brexit because the EU trade agreement is a better deal for them...

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That may be true. But, believe me once Brexit was voted on, they started looking for greener pastures.

[Anythingleft?]

That may be true. But, believe me once Brexit was voted on, they started looking for greener pastures.

Any business of that size and nature utilizing the whole of Europe will all be on the lookout for greener pastures all of the time, thats what they do.. cut costs and make profit..

I get the feeling this is a little brexit bias on your part

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[sanemax]

30 minutes ago, keemapoot said:

Large companies do risk assessment in their strategic planning. They absolutely factored Brexit into this decision and decided that on balance, the UK was no longer attractive. This decision was a long time in internal analysis, and absolutely Brexit was a factor.

They "absolutely factored in Brexit" did they ?

How you you know  this ?

Did you participate in the meetings or did you read the minutes of those meetings ?

[keemapoot]

Just now, Anythingleft? said:

Any business of that size and nature utilizing the whole of Europe will all be on the lookout for greener pastures all of the time, thats what they do.. cut costs and make profit..

I get the feeling this is a little brexit bias on your part

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Yes, you are right about the bias. But this is also a big part of what I've spend my life doing, building businesses around the world and running complex scenarios that optimize supply chains and value chains. This is a natural event that could happen, but in this case, made more probable by Brexit. 100% Brexit was a factor in corporate decision making by Honda.

[sanemax]

Just now, keemapoot said:

Yes, you are right about the bias. But this is also a big part of what I've spend my life doing, building businesses around the world and running complex scenarios that optimize supply chains and value chains. This is a natural event that could happen, but in this case, made more probable by Brexit. 100% Brexit was a factor in corporate decision making by Honda.

No, that is just your opinion , its NOT a 100 % certainty .

Thats just what you think, which doesnt make it a certainty 

[watcharacters]

32 minutes ago, Anythingleft? said:

they, like many other countries, actually take care of their own interests first

I really wish the UK did....

 

 

"I really wish the UK did...."

 

That's like trying to put the toothpaste back into the tube.

 

 

[keemapoot]

Just now, sanemax said:

No, that is just your opinion , its NOT a 100 % certainty .

Thats just what you think, which doesnt make it a certainty 

Oky dokey. But, if I were the CEO of Honda, and my executive team submitted to me a partial analysis that DID NOT include Brexit, they would all be fired. Simply incompetent not to do so.

[sanemax]

7 minutes ago, keemapoot said:

Oky dokey. But, if I were the CEO of Honda, and my executive team submitted to me a partial analysis that DID NOT include Brexit, they would all be fired. Simply incompetent not to do so.

Even so , even if Brexit was discussed , that doesnt mean that it was a factor in their decision .

  Hondas head office in Tokyo may have made the decision based on Japans trade deal with the E.U  

[Lokie]

Funny, the top Honda man gave a statement on UK national news channels shown this morning and said Honda wanted to take most production back to Japan in line with a revised business model owing to GLOBAL demand in car sales... He never referred once to Brexit being a factor...

 

So is not a Brexit issue - Honda have other plants in Europe so why if it is a Brexit thing are they not moving production from Swindon to one of these Euro plants? 

 

Maybe read the full story and facts before talking BS about Brexit this and that... 

[keemapoot]

2 minutes ago, sanemax said:

Even so , even if Brexit was discussed , that doesnt mean that it was a factor in their decision .

  Hondas head office in Tokyo may have made the decision based on Japans trade deal with the E.U  

Ok, enjoy your new independence. I do hope that Airbus and others do not leave or seriously reduce their presence, but I believe they will. 

[evadgib]

23 minutes ago, keemapoot said:

Yes, you are right about the bias. But this is also a big part of what I've spend my life doing, building businesses around the world and running complex scenarios that optimize supply chains and value chains. This is a natural event that could happen, but in this case, made more probable by Brexit. 100% Brexit was a factor in corporate decision making by Honda.

Not according to the local MP yesterday or the head of Honda Europe quoted & seen elsewhere this morning.

[Lokie]

2 minutes ago, keemapoot said:

Ok, enjoy your new independence. I do hope that Airbus and others do not leave or seriously reduce their presence, but I believe they will. 

Wow, are you like Rip Van Winkle...? thats like news from over a week ago and no surprise seeing as certain euro Goverments have major interests in Airbus industries - you believe they will? The puppet masters of europe have already played the card, exactly tells you what you really need to know about europe and how it really works behind the scenes 

 

Do you have any lottery numbers 555

[keemapoot]

8 minutes ago, Lokie said:

Wow, are you like Rip Van Winkle...? thats like news from over a week ago and no surprise seeing as certain euro Goverments have major interests in Airbus industries - you believe they will? The puppet masters of europe have already played the card, exactly tells you what you really need to know about europe and how it really works behind the scenes 

 

Do you have any lottery numbers 555

Ok, here is the first step for Rolls Royce, announced two months ago. By the way, they also said this was not related to Brexit. wink wink. Go on deluding yourself.

 

Quote

Engine maker Rolls-Royce has confirmed it is pressing ahead with plans to shift design approval for large aero engines from Derby to Germany amid Brexitworries.

https://www.independent.co.uk/news/business/news/rollsroyce-moves-design-approval-for-engines-from-derby-to-germany-a8679821.html

[Lokie]

Just sound business strategy by RR.

 

Now Lottery numbers please, stop trying to bore us all with your Brexit narrative, Yawn....

[ChrisY1]

5 hours ago, tomacht8 said:

The Brexit has not been the only factor in the decision, but an important element in the decision-making chain.

 

However, significantly more jobs are affected in the supply chain and in the location itself (hotels, restaurants, ...).

 

Dyson could have developed his electric car in cooperation with Honda in the UK, but he prefers Singapore for that. Let's see which car makers will stay in the UK.

Brexit at all is/was not helpfull here.

Are there many makers left operating..?

[keemapoot]

10 minutes ago, Lokie said:

Just sound business strategy by RR.

 

Now Lottery numbers please, stop trying to bore us all with your Brexit narrative, Yawn....

Here's a Bloomberg opinion piece out today you might like to read. As I stated, Brexit wasn't the cause, but certainly a factor for Honda. You are facing a decimated auto industry in the UK.

 

Quote

Depending on where Brexit ends up on trade and tariffs, carmakers may have options like building in Europe and exporting to the U.K. Yet that would likely leave a skeletal car industry in the U.K.

Companies will have to restructure, regardless. Honda won’t be the last.

https://www.bloomberg.com/opinion/articles/2019-02-19/brexit-isn-t-the-only-headache-for-honda-carmakers-in-u-k

[dunroaming]

4 hours ago, stevenl said:

According top the brexiteer that gave the interview.

Forbes and others disagree with that point of view, https://www.forbes.com/sites/andrewcave/2019/02/18/honda-to-close-sole-european-plant-is-brexit-the-end-for-britains-car-industry/#5314eae77a47 .

 

Yet Honda have said that doubt's about Brexit do have a bearing.  And not forgetting that Honda have just signed a new significant trade deal with the EU.  But let's put that to one side.

 

The car industry is going through massive changes as cars head towards electric.  It is "expected" that Toyota may follow Honda as their production lines in the UK are under performing.  No doubt more will follow.  Brexit has no role to play in the car makers changing their production lines but obviously they will continue to make the new electric models somewhere.  For Britain to be a significant part of that manufacturing base they need to be inside the loop rather than outside.  With all the doubt and indecisions at the moment it is obvious that the manufacturers will look elsewhere.

 

Project fear?  Come on guys, get real!

[stevenl]

1 hour ago, Anythingleft? said:

Brexit had nothing to do with the EU-Japan trade deals I am sure

They would have moved production back even without Brexit because the EU trade agreement is a better deal for them...

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But without Brexit that EU-Japan trade agreement would be applicable to the UK as well.

[Anythingleft?]

But without Brexit that EU-Japan trade agreement would be applicable to the UK as well.

How?
The EU deal allows them to ship to EU from Japan already assembled without any tariffs

How would or, does, Brexit affect that?

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