PA’s head of global manufacturing, Tim Lawrence, is quoted in an article in The Wall Street Journal on Brexit and the automotive sector.
The article looks at the rising number of locally-sourced components in cars manufactured in Britain, which could result in higher costs for automotive companies in the future.
On this issue, Tim says: “Longer-term decision making will be impacted if there are tariffs on U.K. cars and components.”
Brexit: The impact on the automotive supply chain
He goes on to say that manufacturers must reconsider their operations and potentially reorganise parts of their supply chain: “Over a period of time, these decisions will be reflective of the changes in the relationship between the U.K. and the EU.”
Tim concluded that productivity increases will not be sufficient to compensate for post-Brexit tariffs.