Japan’s Honda Confirms Plans to Close UK Car Plant in 2021

MOSCOW (Sputnik) - Japanese carmaker Honda confirmed on Tuesday it was planning to close its only factory in the United Kingdom in 2021 as the company shifts the focus of its manufacturing network on areas that have increased production of electric cars.

“Honda of the UK Manufacturing Ltd. has today informed employees of its proposal to close its Swindon vehicle manufacturing plant in the UK in 2021,” the manufacturer’s statement read.

READ MORE: Brexit Uncertainty Blamed for Reported Shutdown of UK Honda Factory in 2022

The automotive giant explained the move by the need to restructure its global manufacturing network to focus on regions with higher production volumes of electrified cars.

The plant in the southwestern UK town of Swindon produces 150,000 cars a year and employs some 3,500 people. The firm said it was already consulting potentially affected staffers.

The story was first reported by SkyNews on Monday, with the broadcaster saying Honda would retain its European headquarters in the UK town of Bracknell and the Formula One racing team operations in the United Kingdom.

The announcement comes as the United Kingdom is bracing for a possible no-deal exit from the European Union. US car giant Ford warned the UK government this month that a chaotic departure would be catastrophic for manufacturing.