Producing cars for the UK & EU market would significantly impact UK productions: PSA Group

The disclosure by the European boss of the PSA Group makes it clear that a cliff hanger Brexit would be detrimental to its car production line in the UK.

On Tuesday, Maxime Picat, the European boss of the PSA Group stated, if Britain were to leave the European Union without a deal and if the carmaker has to make cars separately for the two markets, the scenario would “necessarily be an impact” on its UK production.

“We’ve been doing all we can to develop our UK business, restore Vauxhall and Opel profitability, reinvesting in Luton and improving our sites’ competitiveness in order to help them face up to an uncertain future,” said Picat at the Paris auto show.

He went on to add, “But there are limits. Those limits are customs barriers, and the loss of freedom of movement, for people and goods. If we get to that point, we will be obliged to take measures. If we suddenly have to start manufacturing for the UK in the UK, and for Europe in Europe, there will necessarily be an impact on UK production”.

“We’re not going to be dogmatic about it, and there’s no question of punishing the UK. We’d take a look at our two factories, the state of our business, and look for a solution. But I don’t know where that will lead us in terms of the sustainability of our sites” said Picat.

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