Lotus has offered reassurance over the future of its Hethel plant in Norfolk, confirming to Business Secretary Jonathan Reynolds that it will not be shut down, as the sports car maker prepares to resume production. The news dispels fears of a potential move of manufacturing to the US, which could have put 1,300 jobs at risk.
The urgent Sunday meeting between Reynolds and Lotus/Geely management aimed to clarify the company’s intentions after a temporary pause in production at Hethel in mid-May, attributed to US tariffs. 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.”
Lotus is now poised to restart operations, benefiting from the impending reduction of US tariffs on car imports to 10% on Monday. This makes the export of its Emira sports cars to the US, a market accounting for 60% of sales, significantly more viable. Lotus has affirmed that “the UK is the heart of the Lotus brand.”
Despite earlier comments from Lotus Technology’s CEO regarding exploring US “localisation plans” to avoid tariff influence, the immediate future of the Hethel factory is secure. The government’s broader commitment to supporting the automotive sector also plays a role in this positive outlook.
