It’s been revealed that BMW (DE:BMW) will invest £600mn on updating its Cowley plant, near Oxford, to support the production of two new electric models – the Mini Cooper and the larger Mini Aceman.
Understandably, the proposed investment was lauded by government ministers, but there are still major concerns over the future of the UK’s automotive industry, not least because cars with batteries made outside either the UK or the European Union could face tariffs of around 10 per cent when shipped to mainland Europe.
The new rules governing supply chain content will come into force from next year unless the UK government and the European Commission agree to revise the relevant regulatory framework. At any rate, the commitment from BMW should only be seen in a positive light in and of itself, and it comes as the UK’s manufacturing sector has climbed one place to eighth largest in the world, according to the latest data published by Make UK (formerly the Engineering Employers' Federation).