Geely-owned Lotus has responded to reports that it is considering ending UK sports car production at its Norfolk plant in favour of setting up a new plant in the US.
Recent media reports have suggested that the company is reviewing options for UK manufacturing following the introduction of 25% import tariffs on cars shipped from the UK to the USA, a major market for the brand. A bilateral trade deal to lower US tariffs on cars shipped from the UK to the US has yet be implemented and Lotus was forced to halt production when the US tariffs came into effect in April.
In a statement on X Lotus said it remains committed to the UK and that it has invested significantly in UK operations over the past six years. However, it also acknowledged that it is actively exploring strategic options to enhance efficiency and ensure competitiveness in an evolving market.
Reports have said that Lotus could move the assembly of cars to the US, working with a US partner with contract assembly capabilities.
The Financial Times has reported that the Lotus statement follows contact with UK government in which London has said it will offer support to the company to keep the plant open, though it is unclear what that would be – or what level of manufacturing capacity Lotus’ parent would be happy to keep in the UK.
Geely took control of Lotus in 2017 when it took a 49.9% stake in previous parent company Proton. It also owns Volvo Cars, which has a manufacuring site in the US (South Carolina).
"Geely’s Lotus says ‘no plans’ to close any factory" was originally created and published by Just Auto, a GlobalData owned brand.
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