Car giant Stellantis calls for a renegotiation of Brexit trade regulations

Car giant Stellantis calls for a renegotiation of Brexit trade regulations

FIAT VANS: Manufactured by Stellantis in Luton Photo credit:

STELLANTIS, which manufactures Vauxhall and Fiat vehicles in the UK called on the government to renegotiate Brexit rules.

“The UK must consider its trading arrangements with Europe,” Stellantis told a House of Commons enquiry.

Not doing so could mean closing some UK operations and endangering thousands of jobs, said the world’s fourth-biggest carmaker, which also produces Citroën and Peugeot vehicles.

Two years ago, Stellantis declared that the future of its plants in Ellesmere Port and Luton were assured, but it now warns that it can no longer meet Brexit trade deal requirements.

These stipulate that 45 per cent of the value of a vehicle’s components should be sourced in the UK or EU by 2024, but the manufacturer will no longer be able to comply with these conditions owing to an increase in the cost of the raw materials used for electric car batteries.

This means the electric vans made at the Ellesmere Port plant will face 10 per cent tariffs when exported to mainland Europe in 2024  as they will have too few locally-sourced parts.

This would put the future of the plant in question, the company said.

Ellesmere Port, where electric vehicle production is due to start later this year, provides jobs for 1,000 workers, while another 1,200 make Vauxhall and Fiat vans in Luton.

Thousands more work in UK businesses dependent on the plants.

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Written by

Linda Hall

Originally from the UK, Linda is based in Valenca and is a reporter for The Euro Weekly News covering local news. Got a news story you want to share? Then get in touch at