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UK Auto Industry Struggles Amid U.S. Tariff Fallout

9/9/2025

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Story summary
  • U.S. tariffs on car imports are hurting the British automotive industry, prompting BMW to stop agency staff roles in Oxford.
  • Volkswagen's CEO criticized the U.S.-EU tariff deal, claiming it has cost billions and harmed brands like Audi and Porsche.
  • To counteract tariffs, Volkswagen plans to invest in U.S. factories, boosting local employment.
  • The UK automotive sector produced only 417,000 vehicles in the first half of 2025, the lowest since 1953.
  • The UK government aims to increase annual vehicle production to 1.3 million by 2035 despite ongoing challenges.