Jaguar Land Rover to Close UK Factories in November, Cites Brexit

Matt Posky
by Matt Posky
jaguar land rover to close uk factories in november cites brexit

Jaguar Land Rover intends to close factories in the United Kingdom for a week in November. While the move is to safeguard the company against a messy Brexit, the company has said it will take place whether or not the nation actually splits from Europe at the end of October. JLR Chief Executive Officer Ralf Speth confirmed the company’s decision late last month.

Brexit has been a long time coming. While the UK voted to leave the European Union over three years ago, considerable energy has gone into postponing the event to either undo the vote (via a follow-up referendum) or delay things long enough to reach a trade agreement with the EU. Automakers have encouraged a deal in order to avoid supply chain disruptions. However, Prime Minister Boris Johnson has said the nation has waited long enough, promising a no-deal Brexit on October 31st if an accord cannot be reached beforehand.

While JLR won’t be the only automotive manufacturer to temporarily shutter European plants over Brexit fears, reports suggest it’s likely to be the one with the broadest implications.

From Bloomberg:

The temporary halt will mean lost production for the unit of Tata Motors Ltd., already impacted by a global slowdown in the car industry. JLR brought forward its usual August maintenance closure as part of preparations for the original March 29 Brexit date, a measure that proved to be in vain after the deadline was shifted to October.

“We have to close,” Speth said. “You cannot switch it on and off. I need to make commitments to my suppliers, I need to have every part available and I need it just in time. If I don’t have a part, I don’t produce a car.”

The overriding fear is that abandoning the EU will create backups at the border, delaying parts automakers need to manufacture product. While this is largely seen as a temporary issue, some suggest it could be weeks before supply routes begin flowing smoothly.

BMW Group said it would halt production at its Mini plant in Oxford for two days, starting October 31st, regardless of how Brexit goes down. It also intends to eliminate a shift to reduce overall output if there’s a no-deal solution.

Toyota also plans on stalling its main European factory in the UK at the start of November. However, its closure will only result in a three-day weekend for staff — hopefully enough for it to avoid the worst of what Brexit has to offer. Toyota Motor Manufacturing UK said it plans on returning to business as usual on November 4th and intends to ship in extra materials beforehand to ensure an adequate parts supply.

[Image: jax10289/Shutterstock]

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3 of 7 comments
  • APaGttH APaGttH on Oct 01, 2019

    With a no-deal Brexit looming, going to be hard to a manufacturer in GB and export your goods when it is just a big black hole on what that will look like.

    • FreedMike FreedMike on Oct 01, 2019

      No, Brexit will be good and easy to win. Wait, that's trade wars. I'm getting my woo-hoo-nationalism-rocks slogans mixed up.

  • Schmitt trigger Schmitt trigger on Oct 01, 2019

    A slow motion train wreck. Now I fully comprehend the meaning of the saying. Although the train is still on the rails...for now. It will be interesting to see which other economies will be severely impacted.

  • Bullnuke Well, production cuts may be due to transport-to-market issues. The MV Fremantle Highway is in a Rotterdam shipyard undergoing repairs from the last shipment of VW products (along with BMW and others) and to adequately fireproof it. The word in the shipping community is that insurance necessary for ships moving EVs is under serious review.
  • Frank Wait until the gov't subsidies end, you aint seen nothing yet. Ive been "on the floor" when they pulled them for fuel efficient vehicles back during/after the recession and the sales of those cars stopped dead in their tracks
  • Vulpine The issue is really stupidly simple; both names can be taken the wrong way by those who enjoy abusing language. Implying a certain piece of anatomy is a sign of juvenile idiocy which is what triggered the original name-change. The problem was not caused by the company but rather by those who continuously ridiculed the original name for the purpose of VERY low-brow humor.
  • Sgeffe There's someone around where I live who has a recent WRX-STi, but the few times I've been behind this guy, he's always driving right at the underposted arbitrary numbers that some politician pulled out of their backside and slapped on a sign! With no gendarmes or schoolkids present! Haven't been behind this driver on the freeway, but my guess is that he does the left lane police thing with the best of 'em!What's the point of buying such a vehicle if you're never going to exceed a speed limit? (And I've pondered that whilst in line in the left lane at 63mph behind a couple of Accord V6s, as well as an AMG E-Klasse!)
  • Mebgardner I'm not the market for a malleable Tuner / Track model, so I dont know: If you are considering a purchase of one of these, do you consider the Insurance Cost Of Ownership aspect? Or just screw it, I'm gonna buy it no matter.The WRX is at the top of the Insurance Cost pole for tuner models, is why I ask.