CityCyclingEdinburgh Forum » Debate!
"UK told Nissan it wants tariff-free trading for motor industry"
(14 posts)-
Posted 8 years ago #
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A private company does a deal with an administration that won't listen to the constituent nations of the UK?
Form a queue here if you are a large multinational.
Posted 8 years ago # -
Not just Nissan it seems.
http://www.thetimes.co.uk/article/7c336b32-9ee0-11e6-aca7-d9d4fe48eef4
Posted 8 years ago # -
The north of England has been a convenient place to mass manufacture cars for the European and even now the Japanese market. 80& of Nissan's production is exported. Suddenly the UK doesn't seem like a smart place to have your car plants. Of course they'll be wanting every concession possible out of the Government as there will be lower-wage countries in Europe and beyond queuing up to offer Nissan a new home. After all, Nissan can squeeze concessions out of the UK and stay here for a while, giving it time to plan for a soft exit to safer shores.
Posted 8 years ago # -
Unlike the sweet heart deals with say science funding which equates to subsiding a privileged elite forming a long line of Audis as try and cycle through research avenue , the Nissan subsidy may have more impact on the average type
Posted 8 years ago # -
UK "wants" isn't the same as UK "gets". I wonder what will happen if the EU doesn't play nice like the Brexiters want?
Posted 8 years ago # -
@Ed1 The science funding "sweetheart deal" is not as sweet as you suggest. All that the government have promised is that any research bids put in by UK universities to existing EU funding projects, *whilst we are still part of the EU*, will be honoured, even if the project end date goes beyond Brexit. It does not promise any post-Brexit funding to replace the approx 1 billion euros UK research currently gets from the EU. Research is one of the areas of EU funding where the UK gets more out than it puts in.
Posted 8 years ago # -
It depends on whether the government is saying they're aiming for free trade, or whether they're saying they're aiming for no tarifs on cars.
The former makes sense, the latter only makes sense if we export more to the EU than we import.
Posted 8 years ago # -
Does the UK export more in Nissans than it imports in Audis and BMWs?
That would need to be a lot of Nissans.
Posted 8 years ago # -
"I think the economic arguments are clear. I think being part of a 500-million trading bloc is significant for us. I think, as I was saying to you a little earlier, that one of the issues is that a lot of people will invest here in the UK because it is the UK in Europe.
"If we were not in Europe, I think there would be firms and companies who would be looking to say, do they need to develop a mainland Europe presence rather than a UK presence? So I think there are definite benefits for us in economic terms.
"There are definitely things we can do as members of the European Union that I think keep us more safe.
"...actually we shouldn’t be voting to try to recreate the past, we should be voting for what is right for the future."
Transcript from an audio recording leaked to the Guardian. The personal views of Theressa May before the referendum.Nissan of course will understand from this that they don't have to believe a word that she says but will be happy to see what they can get. It's just a job and if you have enough money it's always ok. In fact many businesses are quite optimistic as they know that some great bargains are coming up.
Posted 8 years ago # -
Nissan produced about 1.6 million cars in the UK in 2015, of which about 1.2 million were exported. Roughly 57.5% went to EU (approx 57.5% of all UK-built cars are exported to Europe so it would seem reasonable that Nissan follows this trend), giving 690000 cars.
Audi UK sales 2015: 166,709
BMW UK sales 2015: 230,972So yes, the UK exports more Nissans than it imports Audis and Beamers :0
Posted 8 years ago # -
Nicely done GFB! How do VW, Peugeot, Renault, Citrioen, Seat, Skoda, Dacia, Porsche, Volvo etc. skew the results? Oh and Ford has 11% of the UK car market and sells roughly twice as many cars here as Nissan and every one is imported. Also assume that your typical Nissan probably costs around half your Beemer so might have to factor that in. I still think the EU has the upper hand when it comes to balance of car production and imports vs. exports ;)
Posted 8 years ago # -
@kaputnik Check out figure 2 here: http://webarchive.nationalarchives.gov.uk/20160105160709/http://www.ons.gov.uk/ons/rel/abs/annual-business-survey/car-production/sty-car.html
which would suggest you are entirely correct in your assertion that the EU has the upper hand :)
Posted 8 years ago # -
There was an article I read the other day about "pre-registration sales" suggesting that 10-15% of new car production is bought by dealerships as "fleet cars", sat on for 90 days and then re-sold to the paying punter as very nearly new. Without entirely understanding all the details (and the article suggested a lot of people in the industry didn't) it was a useful way for manufacturers to produce more cars than they could realistically sell and to push the financial burden onto the dealers network. It means that customers can buy cheaper cars but also means the manufacturers wriggle out of potentially expensive warranty obligations. There may also be tax and accounting efficiencies in this practice.
Posted 8 years ago #
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