to Be part of a whole in the majority of cases, always it is an advantage. Being isolated in a corner has never been good for any company or person. Remember that a company is part of a whole and this can be applied the same way to countries. Uk with the yes to Brexit is doing just the opposite what this globalized world forces all over the world.
With his departure from Europe you are closing the door to a common market in addition to a lot of benefits that the Union provided. Between them they are able to manufacture in the british isles, and distribute these models for the continent without paying a single penny in customs duties. In addition, we must not forget that the output of the United Kingdom of the European Union leaves him without protection against attacks that may suffer your currency and this is really important.
The pound has always been above the euro and that is what made it economically viable to produce in the Uk. However with the yes to Brexit the pound is losing value and you are dangerously close to the euro. This is pushing the costs of production are rising, not the labour costs or the structure are going up, but that the variation in the value of the currency is plunging profitability that could be extracted for every unit sold.
With this picture the majority of firms that manufacture in the Uk have already announced price rises. Nissan, Ford and Vauxhall are talking about figures close to 2 percent. However, if the situation worsens they would have to increase the prices even more , and hence lose competitiveness in the face. These price increases will affect a whole market of new vehicles of the United Kingdom, although it could be offset with other measures.
the United Kingdom is the second largest european market for new vehicles, so it seems inevitable that the currency fluctuations over time affect all the car manufacturers present in the market. Even those brands that manufacture their cars in the Uk are affected, since all the components used for their manufacturing is done in other countries and bring them there costs more money.
we Hope you reconsider and we can go back, although who knows what might happen.
Source – Automotive News Europe