Consequences Of Brexit [Part 9] Read First Post Before Posting

[Baron99 779]

4 hours ago, altus said:

It doesn't fit in with the it's not because of Brexit they are moving everything back to Japan narrative either.

 

As one of the world's most modern and productive car plants it was never going to be shut down just after Brexit. The real test will be what happens when the plant's equipment get old and tired and needs replacing. Nissan are obviously focusing on elsewhere and whilst Renault might take up some of Nissan's spare capacity for now, I can't see them investing heavily in a UK plant when they have sites in the EU.

 

Whilst this announcement is good for Sunderland for now, it doesn't really give an indication what might happen in the long term.

Someone mention Renault? 

https://www.bbc.co.uk/news/business-52839134

 

Tyre makers must be rubbing their hands at the prospect of another fire outside another European car plant? 

 

Nissan have already announced £400 million for their Sunderland plant earlier this year.  This is on top of a previous £100  million investment & the whole lot is part of a total investment of a £1 billion package over the next 5 years. 

 

https://www.ft.com/content/fe88eec2-5f9e-11ea-b0ab-339c2307bcd4

 

https://www.autoexpress.co.uk/nissan/108049/nissan-invests-ps400m-sunderland-plant?amp#aoh=15907035776700&csi=1&referrer=https%3A%2F%2Fwww.google.com&amp_tf=From %1%24s

 

Edited May 28, 2020 by Baron99

[L00b 441]

12 hours ago, RollingJ said:

I know we are talking 'Brexit economics' @L00b, but it appears in that original post as though you were talking geographically.

I also know that you know what I meant - you are just being argumentative for the sake of it, but I'll accept that - for you the EU is the Holy Grail.

So, you read my first sentence in #376 and understood its economic context and point perfectly well...but then you thought I was talking geographically in my next sentence? 

 

Sure 

 

The EU isn't the Holy Grail at all, and I'm as prepared to discuss its shortcomings, as to continue discussing the ****show that the UK is making of 'Brexit'.

 

But there's precious few opportunities to do that in here, when the vast majority of  Brexiters posts basically amount to Pavlovian "UK good, EU bad" arguments regurgitated from hatemonging red tops.

Edited May 29, 2020 by L00b

[altus 538]

11 hours ago, Baron99 said:

Someone mention Renault? 

https://www.bbc.co.uk/news/business-52839134

 

Tyre makers must be rubbing their hands at the prospect of another fire outside another European car plant? 

 

Nissan have already announced £400 million for their Sunderland plant earlier this year.  This is on top of a previous £100  million investment & the whole lot is part of a total investment of a £1 billion package over the next 5 years. 

 

https://www.ft.com/content/fe88eec2-5f9e-11ea-b0ab-339c2307bcd4

 

https://www.autoexpress.co.uk/nissan/108049/nissan-invests-ps400m-sunderland-plant?amp#aoh=15907035776700&csi=1&referrer=https%3A%2F%2Fwww.google.com&amp_tf=From %1%24s

It still doesn't solve the long term issues surrounding the plant. Nissan pondering 'three options' from Brexit as it plots future of Sunderland plant

But he also reiterated a warning issued by Nissan at the end of last year that its business model was “not sustainable” in the event of a Brexit that put up major barriers to trade between Britain and Europe.

 

Maybe they'll end up doing what Sony did with their TV manufacturing plant in South Wales - turn it into a contract manufacturer for other people's products. Ford don't build cars in the UK, it might be better for them to have cars built in a Nissan factory rather than go to the expense of building a whole new plant themselves? There are also the rumours of them taking on work for Renault. There are probably other car manufacturers in a similar situation.

 

The point is, the business model the Sunderland plant currently operates under, building cars just for Nissan, isn't sustainable with the sort of Brexit it looks like we  are getting. If we don't keep close enough to the EU and Nissan can't come up with an alternative business plan that does work, the plant's future isn't guaranteed regardless of how much they invest now.

[L00b 441]

47 minutes ago, altus said:

(...)

 

The point is, the business model the Sunderland plant currently operates under, building cars just for Nissan, isn't sustainable with the sort of Brexit it looks like we  are getting. If we don't keep close enough to the EU and Nissan can't come up with an alternative business plan that does work, the plant's future isn't guaranteed regardless of how much they invest now.

Nobody ever leaked what Nissan & Theresa talked about behind closed doors, way-back-when. So maybe it can be made sustainable, even with a WTO-level 10% tariff on sales to the EU27 and others.

 

Particularly after other large domestic manufacturers (Honda, Ford, etc) have put the key under the UK mat, leaving Sunderland a quasi-monopoly to produce for the domestic market (moreover, multi-brand under contract as you suggested, makes a lot of sense to fill capacity) and some exports.

 

But no brownie points for guessing right, where the requisite cost savings would come from, nor at what socio-economic cost (-indeed) for the UK workforce.

 

After all, the Tories have very willingly thrown that body of staunch conservatists, British farmers, under the Brexit bus (caught Tuesday's Daily Express? YES! The DAILY EXPRESS! ).

 

So, automotive blue collars, well...

Edited May 29, 2020 by L00b

[Magilla 510]

2 hours ago, L00b said:

After all, the Tories have very willingly thrown that body of staunch conservatists, British farmers, under the Brexit bus (caught Tuesday's Daily Express? YES! The DAILY EXPRESS! ).

LOL, always funny reading comments on the Express...

 

"President Trump will have to abide by our high standards and will be politely remided that its just one of the many reasons why we are called Great Britain and if he meets our high standards then its on."

 

In a piece that's just highlighted that we're binning those "high standards"

Edited May 29, 2020 by Magilla

[HairFarceOne 12]

Full list of MP's who backed the lowering of food standards HERE .

The brexiters shouting about "project fear" can now feel free to express their desire that lower food standards were needed anyway! 🤣

[Litotes 63]

5 hours ago, HairFarceOne said:

Full list of MP's who backed the lowering of food standards HERE .

The brexiters shouting about "project fear" can now feel free to express their desire that lower food standards were needed anyway! 🤣

But we know that its not their fault - it is the fault of those darned remainers who kept us in the EU so long that the food standards went way above what was necessary - chlorinated chicken anyone? Steroid injected beef perhaps?

[Magilla 510]

On 28/05/2020 at 19:54, altus said:

Whilst this announcement is good for Sunderland for now, it doesn't really give an indication what might happen in the long term.

Looks like they're clarifying again what no-deal means:

https://www.bbc.co.uk/news/business-52900528

"You know we are the number one carmaker in the UK and we want to continue. We are committed. Having said that, if we are not getting the current tariffs, it's not our intention but the business will not be sustainable. That's what everybody has to understand."

[whiteowl 54]

Watching the news tonight and it appears that with lower than normal seasonal workers and despite advertising the roles, farmers are still struggling to get people to pick the crops.

 

Come on brexiteers! Pull your fingers out and get the crops in - take back control.

[The Joker 10]

On 29/05/2020 at 14:16, HairFarceOne said:

Full list of MP's who backed the lowering of food standards HERE .

The brexiters shouting about "project fear" can now feel free to express their desire that lower food standards were needed anyway! 🤣

I shouldn't laugh . . . I really shouldn't  . . .  so I'll cry instead 😂

[Earthlyone 0]

Crying about Brexit...is that still a thing??

[RJRB 688]

21 minutes ago, Earthlyone said:

Crying about Brexit...is that still a thing??

You betcha