Lotus Remains Committed to UK as Tariffs Set to Fall

Lotus has publicly reaffirmed its commitment to its UK operations, specifically its Norfolk factory, as US tariffs on car imports are scheduled to fall. Business Secretary Jonathan Reynolds held an urgent meeting with Lotus and Geely executives, securing assurances that the Hethel plant will not be closing, despite earlier reports suggesting a potential move to the US.
The sports car manufacturer had temporarily ceased production in mid-May, largely due to the impact of the 25% US tariffs. With these duties set to decrease to 10% on Monday, Lotus is now preparing to resume its manufacturing activities. This reduction is crucial, as a significant portion of its Emira sports cars are destined for the American market.
A Department for Business and Trade spokesperson stated that Reynolds “was reassured by management that they are committed to their UK operations and have no plans to close their Hethel plant.” This provides a clear indication of Lotus’s immediate intentions regarding its UK production.
While Lotus Technology’s CEO had explored “localisation plans” in the US, the immediate future sees the Hethel plant as the focal point for UK production. The government’s ongoing support for the automotive sector further underpins the confidence in Lotus’s continued presence.