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Home / Business / Honda closes its only British automaker in 2021, but says that this is not due to Brexit

Honda closes its only British automaker in 2021, but says that this is not due to Brexit

Photo: Matt Cardy (Getty Images)
The Morning Shift All your daily car news in a convenient location. Is your time not important?

Honda plans to close its only car factory in the UK. The European Union says it will fight back in a trade war with the US. Carlos Ghosn prepares for trial. General Motors puts its money where its SUVs are, and McLaren sticks to its anti-SUV mindset. All this and more in The Morning Shift for Tuesday, February 19, 2019.

1. Gear: Honda plans to terminate production in the UK

We are now about a month outside the UK to leave the European Union and Honda just confirmed the expiration date of 2021 for its only British automaker in Swindon – along with the loss of up to to 3,500 jobs Sun Reuters. But Reuters reports that Honda said the decision was definitive, completely independent of Brexit, despite its favorable timing.

Instead, Honda said the shutdown was more about the fact that the company was not doing so well in Europe and would like to focus on producing vehicles where most of them are sold. Here's more from Reuters:

But the timing of the announcement, just 38 days ahead of Brexit, comes before the profound concerns of Japanese companies about investing in the UK after it left the EU.

"This decision has not been notified by Brexit," said Takahiro Hachigo, Honda's Chief Executive.

"We needed to take into account the rise of electrified vehicles and the different speeds of electric vehicles being picked up in North America and Europe."

Honda building its Civic car in the UK and Turkey said the model is in both countries The announcement came just over two weeks after Japanese automaker Nissan reversed its decision to build a new SUV in the UK.

The Swindon plant accounts for a large portion of UK automobile production. Reuters reports that it is responsible for 10 percent of cars built on land. In 2018, Swindon said it had built 160,000 vehicles.

That makes the closure "a devastating decision for Swindon and Britain," cited the story the British Minister of Economic Affairs Greg Clark [19659007] and Reuters reports that the country's largest union, Unite, would do battle to keep the production facility open.

. 2 Gang: The European Union says it will retaliate when the US customs clearance vehicles

In a more cheerful development around the world, the European Union said they would not just sit back Take it when the US imports on imported vehicles Set customs duties. And remember, we, the consumers, ultimately pay the costs of taxes, customs and trade wars.

Reuters reports that a confidential report from the US Department of Commerce which was recently sent to President Donald Trump, might make room for it to set tariffs of up to 25 percent on imported cars and parts by them be described as a national security threat. Because the report is not public, Reuters reports that exporters like Germany, Japan and South Korea do not know what's coming.

But while the story says that Trump had promised the European Commission President, Jean-Claude Juncker, he would not impose tariffs and Juncker said he believes it the EU seems ready to take revenge if she does not run as planned.

From Reuters:

"Trump told me that there will be no car fares for the time being. I see this commitment as something that you can rely on, "said Juncker in an interview with the Stuttgarter Zeitung. He did not state when Trump made the promise.

Juncker added that if Trump still imposed tariffs on European cars, the EU would respond immediately and would not feel obliged to keep their promise to buy more soybeans and LPG from the United States.

Bloomberg cited the Ifo Institute in which he reported that 25% prices could reduce German exports to the US by 50%, and total European exports by 7.7%. Here's more from Bloomberg: [19659014] The auto-conflict follows US tariffs on European steel and aluminum imports, using the same national security basis. The bloc retaliated with the imposition of duties on 2.8 billion euros in US imports, ranging from Harley-Davidson Inc. motorcycles to jeans by Levi Strauss & Co.

US. The tariffs on European cars would mean a significant escalation of tensions between the Atlantic States, as the value of EU motor vehicle exports to the American market is about ten times higher than that of steel and aluminum. As a result, European tariffs would target a larger volume of US exports to Europe.

A 25% US tax on foreign cars would, in the Commission's view, increase the sticker price of European vehicles imported into the country by € 10,000. This would particularly affect German brands such as Volkswagen, Porsche and Mercedes-Benz.

Bloomberg reports that an inch of 25 percent would increase the sticker of imported European vehicles by $ 10,000 or $ 11,300 at current exchange rates The European Commission.

. 3 Gang: Ghosn Prepares for Trial

Carlos Ghosn is still imprisoned for his company's allegations of financial wrongdoing in November, bail was denied under his former legal department. With a trial this year and the potential to reach up to 10 years in prison, Bloomberg reports that he overtakes his legal team and prepares for a fight.

Ghosn, who was formerly Renault [19659009)leitete] and chairman of both Nissan and Mitsubishi, was jailed for alleged financial misconduct by Nissan. The issue has severely strained the alliance between Renault and Nissan-Mitsubishi, but Renault, who held Ghosn as CEO for a long time after Nissan and Mitsubishi dropped him, even claimed it had found financial misconduct.

For Ghosn, however, it is time for litigation. Bloomberg reports that Ghosn, with a legal system in Japan that has a 99 percent sentence of completely overhauled its legal team last week – including adding a main lawyer nicknamed "The Razor".

By Bloomberg:

He replaced a group led by former local prosecutor Motonari Otsuru with a group overseen by Junichiro Hironaka, known for aggressive tactics defending high-ranking clients, such as a former corruption suspect , Hironaka will hold his first press conference as a lawyer for Ghosn on Wednesday.

"Otsuru was in vain because he is not the type of lawyer who will take on a combative attitude towards the prosecutors and probably can not maintain a trust relationship with Ghosn." said Nobuo Gohara, a lawyer and former prosecutor in Japan. "Hironaka is the kind of lawyer who will thoroughly fight the prosecutors' charges."

Ghosh's defense team includes Takashi Takano, who represented a member of the Aum Shinrikyo cult behind the 1995 Sarin gas attack in Tokyo.

A Tokyo defense lawyer from Bloomberg, Nobuko Otsuki, called Takano and Hironaka "Allstars".

. 4 Gear: GM invests US $ 36 million in future SUV production in Michigan

Recently, Motors has been concerned with the production of production equipment and job losses . However, the Detroit Free Press reports that the company is investing $ 36 million in its Lansing Delta Township plant in Michigan for its future crossover and SUV production.

This is exactly in line with GM's idea of ​​"investing in the future" – at least for the present, as crossovers and SUVs now want people.

The Lansing Delta Township pl ant builds both the Chevrolet Traverse and the Buick Enclave SUVs and the Freep Reports which opened in 2006. It is the latest GM system with about 2,600 employees. The plant was also the recipient of numerous GM investments over the years, according to Freep:

The investment comes as GM drains five of its other factories in North America this year and 6,200 jobs under a restructuring plan that includes the This includes a total of 8,000 salaried jobs, through buyouts, contractor cuts and involuntary redundancies.

The UAW praised the investment.

"The membership of UAW Local 602 is under the excellent leadership of Gerald Kariem and UAW Region 1D Director They welcome this investment on behalf of the entire workforce and the community," said UAW Vice President Terry Dittes in a statement. Delta Township builds the world class Chevy Traverse and Buick Enclave. We at UAW are looking forward to further investments of this kind from General Motors so they can build where they sell. "

Since 2009, GM has invested more than $ 600 million in the facility. In 2015, GM said it plans to invest $ 5.4 billion in improvements to US assets over the next three years.

Director-General Mary Barra named Traverse and Enclave key products in the company's "growing crossover portfolio" and said the investment will help "prepare the facility for future crossover production." [19659021] 5th Gear: McLaren Will Resist

You know how in the Terminator films the fraction of the human population still fighting the inevitable robotic takeover is aptly called "resistance"? Well, McLaren is the resistance in the automotive industry – still against the inevitable takeover of Crossovers and SUVs.

While Lamborghini, Aston Martin and Ferrari all entered the attack of SUVs and Alls their mass appeal, and while Bugatti is debating its place in this world, McLaren has yet to crack. He said that at the beginning of last year, in September last year, and once again this month, no SUV will be made.

By Automotive News:

Despite Pressure on the Market Premium automakers offer SUVs, but the McLaren brand remains hopeless.

"I can easily answer that and say no," said Mark Roberts, head of design at McLaren Automotive. "We really deliver the ultimate driving experience. For us that means no compromise. An SUV does not allow us to deliver that. It is not an uncompromising vehicle. "

McLaren is the resistance. How long – well, that remains to be seen.

Reverse: Past Daya 500 Winner

It's mid-February, which means there were a handful of different Daytona 500 winners every day at this time of the year. On 19 February 1978, 1984, 1989,
1995 and 2006, NASCAR's biggest race went to Bobby Allison, Cale Yarborough, Darrell Waltrip, Sterling Marlin [19659007]. 19659009] and Jimmie Johnson.

Neutral: Do you think McLaren will give in?

If so, how long will it take?

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