Let's Get Political!

[bathford]

what % of Honda produced in Swindon are diesel? genuine q, saw a claim it was 17% earlier.

Not that it negates the point of over capacity in general, protectionism in Japan and yes cost of production of future models must be a factor too

True, production costs must be a factor. If the downturn is the 17% you mention, that's 27,200 vehicles and it's only going to get worse. Honda will not plug that gap by moving production from their own country. The only way they would consider staying is more 'incentives' from the UK Govn't.

[Ardiles]

I guess it's a weakness in the inward investment model that's served us well for a few decades now.  Companies domiciled elsewhere will use the UK as a base when it suits them, but you'll be first in line for the chop when things change.

Putting the two things together, though - Brexit and the new UE/Japan trade deal - means that it's now going to be cheaper to export a car from Japan to Spain than from the UK to Spain...which is nuts.

[bathford]

I guess it's a weakness in the inward investment model that's served us well for a few decades now.  Companies domiciled elsewhere will use the UK as a base when it suits them, but you'll be first in line for the chop when things change.

Putting the two things together, though - Brexit and the new UE/Japan trade deal - means that it's now going to be cheaper to export a car from Japan to Spain than from the UK to Spain...which is nuts.

Put 33% import tax on all imported cars. See how their market hear collapses!

[Batch]

why would anyone want to do that?

[Bogus Dave]

what % of Honda produced in Swindon are diesel? genuine q, saw a claim it was 17% earlier.

Not that it negates the point of over capacity in general, protectionism in Japan and yes cost of production of future models must be a factor too

13% the figure I’ve seen quoted.

[Ardiles]

Put 33% import tax on all imported cars. See how their market hear collapses!

Have you really thought this through?  

[pauld]

Put 33% import tax on all imported cars. See how their market hear collapses!

*here. Apart from chalkiesshorts, do any of the Brexiteers on here actually speak English?

[Batch]

13% the figure I’ve seen quoted.

Could be. I guess the point is  they were expecting to do more.

But this decision reflects future plans, not current production

[Sir red ken]

*here. Apart from chalkiesshorts, do any of the Brexiteers on here actually speak English?

si cazzo

[RobertT]

Car manufacturers are in a race right now to figure out how to structure.  Electric has them spooked as does automation.  Ford were busy trying to take the piss out of Musk when he got Tesla to the 7k cars a week production number by having to put up a temporary tented manufacturing plant and make people work around the clock.  That missed the point - he did it in tents!

If you are stuck producing things the way you have, the market is about to shift as fundamentally as automation or when the Japenese showed everyone else how to order parts Just in Time, and left companies looking like British Leyland looking like the useless dinosaurs they were.  Brexit may not be the cause, but it will be a catalyst for companies to take the long view - completely re-machine a legacy monolith in a non EU country for EU sales, or revert to Japan with a trade deal and give yourself more flexibility and slack?

Aerospace is another one - the A380 being a decision made at just the wrong time, given the change in the airline industry to twin jet engines and composite materials to get lighter planes with lower capacity, reducing fuel consumption and costs and moving from the Hub approach in many cases.  The lead times in design and production mean that one was doomed before it got going, and they reacted by investing in the mid sized planes, where they have stolen a march on Boeing in some areas.  That one is nothing to do with Brexit - but Brexit may come into play when they decide what their next big investment will be and where.

Us leaving the EU does not splinter the global market, it just means we have to find our niche within it - it will cause structural change and it won't be quick.  It may not all be bad, but nobody should pretend it won't create massive change.  This was always my biggest fear - nobody had a plan for what we should look like outside of the EU.

[michael]

what % of Honda produced in Swindon are diesel? genuine q, saw a claim it was 17% earlier.

Not that it negates the point of over capacity in general, protectionism in Japan and yes cost of production of future models must be a factor too

More pertinent perhaps than proportion of diesel is that Swindon is the only Honda plant producing diesel cars, full stop. Apparently Swindon's output quality is very good, only Japan can match it, and they want all the new tech closer to home anyway. Hence why they won't just kit Swindon out with a new rig.

[Nemo]

Heidi Allen, Sarah Wollaston and Ann Soubry are leaving the Tories to join Chukka and Pals.

[Flashheart]

There must be a lot more on both sides teetering on the brink.

[Nemo]

There must be a lot more on both sides teetering on the brink.

You'd think so. Will be some interesting technical dynamics when they go past the size of the Lib Dems (would need two more MPs) and the SNP (24 more) as they'd get a lot more funding and questions at PMQs etc. Presuming they're going to get round to actually registering as a party anyway...

In order for them to survive in any real sense, they'll have to come to some sort of arrangement with the Lib Dems (also nominally centrist, anti-brexit), as much as they don't seem to want to for now.

[Ardiles]

How will this new grouping differentiate itself from the Lib Dems?  They seem keen to keep some separation (talking of co-operating with, but not joining the Lib Dems).  But they certainly seem to have a lot in common with them.