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Mercedes to cut jobs amid tougher emissions rules
I am expecting further product rationalisation and fewer options....
I am expecting further product rationalisation and fewer options....
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In the EU many car companies are part funded by governments who have to keep churning out cars to keep some the population in work and to make the peasants think all is rosy in the garden.
I believe there is 1 1/2 million over supply of cars in EU
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As I understand it under EU law governments can not bail out failing companies. I guess it's different if the government actually has a stake in the company.
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The car industry in the UK is not the best industry to be in right now.
With you all the way on this. I have spent years working in Europe, a lot of it in Belgium. I have been stuck in traffic in Brussels behind a dustbin lorry that has operators standing on platforms on the rear of the truck while it is moving, I have seen 'man cages' on forklift trucks still being used, I have been in bars where everyone is smoking and been in very nice butchers shops where raw meats are served right next to cooked meats and prepared ready to eat salads...the list is endless, and this is in Belgium where many of the rules are thought up. Don't get me started on what I have seen while working in Spain,Italy,France,Germany,Netherlands, etc...Except for the Germans of course with Condor Airways, part of the Thomas Cook group. Thomas Cook Airways in the UK were profit making but the UK government stick to the rules and do nowt. You only have to visit most EU countries to see we are the only ones who stick to the rules.
Hence the demise of many of our industries.
RR
You are correct in what you say about the German - and the other manufacturers in Europe - but they will pull up the drawbridge and eventually take all of their production 'home' which of course means Bulgaria,Poland,Romanian,Turkey,Slovakia,etc as well as their homelands. They have to, just to keep their people happy even if it ends up being cheaper to make them in the UK after Brexit....if that ever happensBut lets enjoy a little Schadenfreude, because the German car industry is in far greater sheet because it is totally dependent on exports, and has had its reputation destroyed by Dieselgate.
In the meantime, the UK will just have to continue to employ a million or so people in the car industry. That's couple of hundred thousand people directly in vehicle manufacture producing 1.6 million passenger vehicles and 85,000 commercial vehicles, for UK consumers and export markets, and then another 800,000 in supply, distribution and servicing . Broadly a £20 billion addition to the UK economy, against a total turnover of £80 billion.
Small potatoes, maybe, but the taxes that the car industry pays (excluding VED and fuel) just about cover the NHS bill for diabetes treatment for tubbies each year - roughly £12 billion a year.
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You are correct in what you say about the German - and the other manufacturers in Europe - but they will pull up the drawbridge and eventually take all of their production 'home' which of course means Bulgaria,Poland,Romanian,Turkey,Slovakia,etc as well as their homelands. They have to, just to keep their people happy even if it ends up being cheaper to make them in the UK after Brexit....if that ever happens
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