Honda to shut UK manufacturing plant by 2021

Last Updated: Wed, Feb 20, 2019 13:06 hrs
Honda

Car manufacturing giant Honda on Tuesday announced plans to shut down its manufacturing plant in Swindon in 2021, putting around 3,500 jobs in jeopardy in the wake of the impending Brexit.

Honda's President Takahiro Hachigo made the announcement on February 19, adding that it aligns with their efforts to restructure global manufacturing operations, which focuses more on electric vehicles. He also added that sluggish sales in Europe were one of the factors of the decision.

"We have decided, from the point of view of competitiveness, that it will be difficult to produce electric vehicles in Europe," NHK World quoted Takahiro as saying.

He dismissed speculations that the decision was made due to Britain's impending exit from the European Union (EU) in March 2019. However, he added that there were looming uncertainties on a probable effect the move may have on the procurement of parts.

Meanwhile, Honda has announced its intent to provide support to the 3,500 affected workers at the plant which manufactures around 1,60,000 vehicles per year.



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