Why are Honda closing their factory in Swindon — Honda closure


It opened in 1989 as an engine plant and in 2022, if you believe the news, it will close, with the loss of about 3,500 jobs.

"As Honda's European flagship factory, we employ over 3,500 associates to build and export the Civic and Civic Type R to over 70 countries worldwide".

According to North Swindon MP Justin Tomlinson, Honda's decision to close its Swindon plant is based on "global trends and not Brexit". The company now employs around 3,500 people at its Swindon plant.

Spokesmen for Honda were not immediately available to comment on the report.

Nissan said it had made the decision "for business reasons", but added that "the continued uncertainty around the U.K.'s future relationship with the European Union is not helping companies like ours to plan for the future".

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"Honda will be consulting with all staff and there is not expected to be any job losses, or changes in production until 2021".

United Kingdom vehicle manufacturers build about 1.5 million cars per year, so a Honda closure would cut out 10% of all United Kingdom production. Jaguar Land Rover, Britain's biggest carmaker, said in January it would scrap 4,500 positions in response to a sales slowdown blamed on Brexit, as well as a drop in China sales and slumping diesel demand. In its time, the factories here produced such machines as the Miles Master, the Short Stirling and the Spitfire, though in more recent years those names have been replaced by the Accord, Civic and Jazz.

The Unite union, which represents workers at the Swindon plant, is seeking clarification from Honda, Des Quinn, national officer for the automotive sector, said in an email.

As the political impasse drags on, investments in the British automotive industry almost halved past year to 589 million pounds (US$761 million), the lowest since the global financial crisis, according to the Society of Motor Manufacturers.

"The auto industry in the United Kingdom over the last two decades has been the jewel in the crown for the manufacturing sector - and now it has been brought low by the chaotic Brexit uncertainty created by the rigid approach adopted by Prime Minister Theresa May", he said.