Based on the recent reports published by the Guardian, the car industry in UK is overwhelmingly against our exit from the EU. This is according to an industry wide survey commissioned by the Society of Motor Manufacturers and Traders (SMMT). On the basis of this report, 90% of companies in the UK automotive industry believe staying in EU market is essential to their business.
SMMT chief executive Mile Hawes explains that the UK car industry is already an essential part of Europe and it is critical to maintain this position to ensure future success of the automotive industry at home. His view is also supported by the recent report showing a consecutive increase in demand for the car manufacturing industry products, which is directly connected with our close integration with the Europe wide automotive industry market.
The UK’s consistent involvement in the EU car manufacturing market ensures investment, growth and job creation in automotive companies of all sizes, which is always a good news. It ensures that those jobs are not lost to Asian manufacturing markets leaving the home base completely dependent and in the mercy of those markets.
How about used car market?
The UK car manufacturing industry has recovered and an increase in sales is definitely good news, which means that the financial situation and consumer confidence is improving and people are more inclined to spend. This is also projected to be good news for the used car market.
A recent study prepared in the University of Buckingham by Professor Peter N C Cooke for the “British Car Auctions” reports a steady increase in the used car market by the end of 2013 as well. It is reported that the UK used car industry is experiencing a steady recovery after the recession in 2009.
This recovery in the used car market is clearly connected with the similar increase in other EU countries; especially looking at the German used car market. This connectivity with the mainland market clearly shows how dependent the UK used car market is to the EU integration.