UK Hopes To Attract EV Battery Plant Investment

MAR 6 2019 BY MARK KANE 28

Who would not want to have a perspective battery plant?

Uncertainty associated with Brexit, the decline of diesel car sales, which were over expectations in the UK and the retirement of some car manufacturers is highly affecting the British automotive business.

To boost the sector or at least prevent job losses, UK plans to attract investment in electric car battery plant. At this point, it’s not clear who would be interested in the project (talks concerns at least several manufacturers according to rumors) and how the UK could tempt the investor (probably by some tax cuts or other incentives).

Britain currently has only one lithium-ion battery factory for electric cars – in Sunderland (Nissan/AESC). We guess that in the past year, the facility supplied 40 kWh packs for over 40,000 Nissan LEAF sold in Europe and several thousands of Nissan e-NV200, which would be around 2 GWh total.

An additional factory would improve the situation, but not much when:

  • Jaguar Land Rover will but 4,500 jobs (mostly in UK)
  • Nissan decided scrapped plan for X-Trail
  • Honda will close its factory in 2021
  • Ford sends warning about the potential bad consequences of Brexit
  • PSA Group is reviewing Vauxhall plants

Source: Bloomberg

Categories: Battery Tech

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28 Comments on "UK Hopes To Attract EV Battery Plant Investment"

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Lol, I’d class this as a pipedream until Britain has decided on what it’s relationship with the EU is going to be (and provided it is a sufficiently close one).

After Brexit, I can’t see any European car manufacture being interested in doing business there. It just wouldn’t make any financial sense.

Sad times. A potential exodus of car manufacturers pretty much draws a line under EV investment in the UK.

Agree with what has been said. Brits will be lucky to keep any business they have at the moment. Forget about attracting anything.

LOL. Cancel Brexit if you want that. Even your local EV entrepreneur Dyson is going foreign.

But this had nothing to do with Brexit said the Brexiteer Dyson.
🤣

Crazy, isn’t it?

“Who would not want to have a perspective battery plant?”

*Prospective

Sorry 😛

Are these stories written by dyslexic computer programs or, even worse, a real human that cannot spell.

Why does everyone have to blame Brexit for everything. There are over 35 million adults that can buy EV’s in the future, in the UK. If that is not enough for some companies, well greed and all that.

PSA will keep at least one Vauxhall plant. They just invested in one of them. They would need a large number of batteries as they have a real EV mass production plan.
Jaguar Land Rover cannot exist without a UK plant. It’s in their DNA. Thus, they might need it too.
Nissan won’t need much more batteries than now until their new models are ready and based on the common Renault Nissan Mitsubishi platform are ready in a few years.
Ford – no idea. They don’t have many EV projects at the moment, if any.
Honda, they obviously won’t need anything.
And the British won’t export that battery production to mainland Europe due to taxes.

“Jaguar Land Rover cannot exist without a UK plant”?
If they continue their sales trend all their future (electric) cars can be built by Magna in Austria.

I think if they do that the UK buyers may decide to purchase home grown rather than what could be seen as back stabbing behaviour.

That’s the thing the brexiters don’t seem to understand…. the UK market is not that important. It’s only about 15% of EU car sales and less than 9% of the production (since many european brands have large non-EU markets).
The most important market in practically any industry, whether that’s German cars or Irish Agriculture (though this is only 2% of the Irish economy) is the rest of the EU27 + EFTA… a market everyone would sacrifice the UK market to protect.
Also, since the UK is going to be poorer after brexit, and therefore buy less cars anyway… why would people make any plans that rely on it?

“Jaguar Land Rover cannot exist without a UK plant. It’s in their DNA. Thus, they might need it too.”
Tata doesn’t care and considers relocating the headquarter of JLR to Slovakia seriously because of the new plant and cheap labor in there.

BMW Mini also is a question mark, the electric mini already being produced in China instead

I suspect that brand will decline a bit. It was a cool retro come-back but as we transition to EVs, the horrible aerodynamics of MINI vehicles is not going to be good for them, IMHO.

Well, the UK has the 6th largest economy in the world; makes great sense to continue doing business there. Also, there will be beneficial trade agreements worked out with EU. There’s just no alternatives to not sign them.

Was not the 6th before entering EU, I am afraid many forgot the time period between the British Empire and UK member of EU.

Regarding trade agreements I think many do not understand that EU is not only about economy. I doubt any free access to the European market will be agreed without the freedom to travel for peoples. And immigration was quite a motivation for leaving Europe.

So the EU only trades with countries that offer freedom of movement?

The EU trades with most other countries under WTO rules. The EU has a 10% import tariff on cars for WTO countries.

The EU is the only true free trade region in the world. All products can be traded at 0% import tariffs and no restrictions within the EU. That only works if workers across the region have the same rights.

Even NAFTA and it’s succesor are not true free trade agreements because not all products can be imported from Mexico to the USA without tariffs.

About time someone on this thread stopped ignoring reality. It seems every problem the UK is facing is due to Brexit. No, some of it is due to self centered groups and individuals spreading FUD.

Have we heard about FUD with Tesla, well it also exists with Brexit too. Wait until we are out and you will find business as usual for many companies. Business always finds a way, good or bad.

Sure, EU will choose UK for the so called “Airbus of batteries” merging the investments all European automakers…

Or maybe the Japanese automakers who are leaving UK…

Or maybe Dyson who said is will do is car in Singapore…

Or maybe a gigafactory from Tesla, Tesla who decided that UK will be the last place on Earth to see the model 3.

Brexit, they wanted it, they will have it, to make Britain great again!

To be fair, there is ever-increasing evidence the Russians were heavily involved in influencing the referendum outcome. Don’t be too harsh on the Brits, they got played.

As did the Americans in the 2016 election.

Putin has basically won the first cyber war with the strong help from the many useful idiots in Britain and US.

After this brexit mess it seems less then unlikely. Sorry UK but u cant exit the biggest freetrade area in the world and expect investments for anythingothert then local stuff. Big international investments will go other ways.

They have to negotiate all the trade deals from scratch, but it could be done.

It requires more time and money to do so. More than decades to make it done.

It sort of goes along with the UK-BIC (battery innovation centre) investment. Also, Jag have announced a battery assembly factory in the Midlands.