The Impact of Brexit on the Car Manufacturing Industry

Part of 2. Questions to the Counsel General and Brexit Minister (in respect of his Brexit Minister responsibilities) – in the Senedd at 2:25 pm on 10 July 2019.

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Photo of Helen Mary Jones Helen Mary Jones Plaid Cymru 2:25, 10 July 2019

I'm grateful to the Counsel General for his response. He'll be aware that, according to the European Automobile Manufacturers Association, 80 per cent of the cars assembled in the UK are sold abroad. Around 58 per cent of those are exported to the EU. As the Counsel General said, if we don't get some sort of trade deal, the tariffs on car exports could be very serious—up to 10 per cent—which will really hit the competitiveness of Welsh manufacturers in this really important sector.

He will also be aware of the Cardiff Business School report for the Welsh Government in 2017, highlighting how firms linked to the automotive sector based in Llanelli, such as Calsonic and Schaeffler, could be exposed in this scenario. We now know, of course, that 200 jobs are at risk at Schaeffler's Llanelli plant. So, can the Counsel General tell us a bit more about what actions the Welsh Government is taking to mitigate the potential impact of Brexit on this key interest, particularly in the case of a 'no deal' scenario?