Motor Vehicles: Manufacturing Industries

Department for Business, Energy and Industrial Strategy written question – answered on 19th November 2020.

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Photo of Hilary Benn Hilary Benn Chair, Committee on the Future Relationship with the European Union, Chair, Committee on the Future Relationship with the European Union

To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the potential effect on the UK car industry of tariffs in the event that no agreement is reached in the current negotiations between the UK and the EU on the future relationship.

Photo of Nadhim Zahawi Nadhim Zahawi Parliamentary Under-Secretary (Department for Business, Energy and Industrial Strategy)

We are confident that we can reach a deal and will continue to work hard to reach an agreement with the EU for as long as there is a constructive process ongoing. The Political Declaration sets out our ambition for a zero tariff and zero quota Free Trade Agreement; reducing the costs and processes associated with trade is in the interests of people and businesses across the UK and the EU.

Extensive engagement has been taking place between the Government and the automotive sector on future trade negotiations. We shall continue to work with companies over the next few months to ensure that they are well prepared for the end of the transition period.

In addition, the Government has a long-standing programme of support to maintain the competitiveness of the UK’s automotive sector.

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