Honda Closing UK Plant

Honda logo

CBJ — Honda has announced it will close its only automotive plant in the United Kingdom in 2021, which will result in the loss of about 3,500 jobs.

The departure was announced by Honda officials about one month before Great Britain is scheduled to leave the European Union in what has become commonly known as Brexit. However, the automaker says leaving the UK is not related to Brexit and that the company is instead focusing on activities in regions where it expects to sell most cars.

On the other hand, skeptics point to repeated warnings from Japan that it would pull investments if they are no longer economically viable after Britain leaves the European bloc.

The Honda Civic is built in the UK at the Swindon plant in the southern section or England, but the vast majority of those vehicles are exported to the United States as opposed to being sold in Europe.

This follows decisions by Japanese electronics companies Sony and Panasonic to move their headquarters from Britain into the EU, while Hitachi put a $28 billion nuclear power project in Britain on hold in January.

@CanBizJournal

 

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