Latest news with #autoIndustry
Bloomberg
03-07-2025
- Automotive
- Bloomberg
Michigan and Ohio Jobs Will Be the True Test of Tariffs
The resolution of President Donald Trump's tariff plans, expected this month, couldn't come soon enough for the auto and manufacturing heartland that helped sweep him into office. The economies of Michigan and Ohio have been deteriorating since last year and are poised to worsen as a cooling labor market, stagnant consumer confidence and high interest rates chill auto demand and factory activity. How their fortunes unfold over the next year will be the true test of whether Trump's economic agenda boosts manufacturing jobs following months of erratic trade policy that has made businesses cautious.
Bloomberg
30-06-2025
- Business
- Bloomberg
South Korea Says US Trade Talks Need to Continue Past Next Week
By Updated on Save South Korea sees the need for trade negotiations with the US to continue past next week's deadline as Seoul continues to seek exemptions from US tariffs including duties affecting the auto and steel industries. A senior South Korean trade official, who asked not to be identified discussing internal matters, said it was unrealistic to expect negotiations to wrap up before across-the-board tariffs are set to rise on July 9.
Daily Mail
27-06-2025
- Automotive
- Daily Mail
Job fears as Lotus plots UK closure of sports car plant
Lotus is reportedly planning to end production of its sports cars in the UK, putting 1,300 jobs at its Norfolk plant at risk. In another bruising setback for Britain's auto industry, the group is considering moving the manufacturing of its Emira model from its factory in Hethel to the US. The company, which is owned by Chinese car-maker Geely, could permanently stop production at the site as soon as next year, according to the Financial Times. Meanwhile, figures published yesterday showed UK car production last month slumped to its lowest level since 1949. Britain's high-end car-makers have been battered by Donald Trump's 25 per cent tariffs on the industry – though a trade deal reducing this to 10 per cent is expected to come into force on Monday. No final decision has been made over the future of the Hethel plant, which was opened in 1966 and received a £100m upgrade in 2022. Workers at the site have not been told anything about a potential closure. A Lotus spokesman said: 'This is a rumour. We don't comment on speculation.' The car-maker paused its production in mid-May in order to manage its stock levels due to Trump's tariffs. But it is expected to begin making cars again in Norfolk within four weeks. British car engineer Colin Chapman founded Lotus in 1948, and it was ultimately taken over in 2017 by Geely – owned by the billionaire Li Shufu. The closure will be another industry setback after Vauxhall owner Stellantis closed its Luton van factory, employing 1,100 workers, earlier this year. Major car-makers such as Honda – which shut its plant in Swindon in 2021 after 36 years of production – have exited the UK. Ford also closed its Bridgend engine plant in September 2020, and a Southampton van plant earlier in July 2013. Car production declined by 31.5 per cent last month, according to the Society of Motor Manufacturers and Traders (SMMT). The likes of Aston Martin and Jaguar Land Rover have had to halt shipments to the US following Trump's tariffs. SMMT chief executive Mike Hawes said 2025 had 'proved to be an incredibly challenging year for UK automotive production'.
The Herald
25-06-2025
- Business
- The Herald
Many challenges emerge in agriculture after promising start to year
This has been a horrific month for the Eastern Cape. The devastating impact of the recent floods on infrastructure, homes and human loss will continue to weigh on the province and the affected families. Natural disasters also occur at a time when various industries in the Eastern Cape face multiple pressures. For example, the auto industry faces a challenge of imports from China, among other challenges. The farming industry faces animal diseases, with foot-and-mouth disease being the most persistent in the province's dairy industry. However, foot-and-mouth disease is now a challenge nationwide. We are seeing the pressures across the livestock industry. I think if you were to ask any cattle farmer in SA, 'How has the year been?' They will likely tell you that this has been a financially challenging year for the industry. But at the start, the outlook looked promising. We thought the industry would continue its recovery from last year, benefiting from improvements in grazing veld and relatively lower feed prices. This was after the better summer rains improved agricultural conditions across the country. The export markets also opened up in the second half of 2024, following temporary closures in the previous year due to the industry's impact from the foot-and-mouth disease outbreak in most provinces. For example, in 2024, SA's cumulative beef exports increased by 30% from 2023, reaching 38,657 tonnes. About 57% of this was fresh beef and 43% was frozen beef. The key markets include China, Egypt, the UAE, Jordan, Angola, Mozambique, Kuwait, Qatar, Saudi Arabia and Mauritius, among other countries. However, the recent outbreak of foot-and-mouth disease on a few farms in various regions of SA presented additional challenges, leading to temporary closures of export markets again in an industry that was still on its recovery path. The financial pressures on farmers are immense, and we will have clarity about the scale in the coming months. What has been encouraging is the collaboration between the department of agriculture and organised agriculture in containing the disease and facilitating vaccination on the affected farms. We can expect the vaccination process to gain momentum in the last week of June. However, the key to the long-term success of the industry lies in improving animal health, developing vaccines domestically and implementing better surveillance, among other interventions. Efforts on this vital issue should continue through the collaboration of various stakeholders, including the government, the private sector and organised agriculture. SA must leverage existing private sector expertise as the process to improve state-owned facilities, such as the Onderstepoort Biological Products, a state-owned vaccine manufacturer, is under way. We no longer need just one centre of manufacturing, but rather multiple centres where capabilities exist. This intervention is key not only for preserving the country's share of the industry but also for creating room for new entrant farmers. It is hard to talk about the integration of black farmers into commercial value chains when the risks of disease remain high and can be financially devastating to businesses. The recent statements by agriculture minister John Steenhuisen regarding the department's commitment to strengthening animal and plant health are encouraging. Indeed, in the near term, the focus is on vaccination; however, beyond that process, we must adopt a careful approach to reviving domestic vaccine manufacturing capabilities and involve the private sector. Thereafter, also nudge the department of public works and infrastructure to assist with fencing to ensure the strict control of animal movement in the country. In the former homelands regions of SA, the traditional leaders have an essential role to play in managing the movement of livestock. The task cannot be left solely to the government. Everyone has a role to play in ensuring that SA's animal health is a priority. The livestock industry is an anchor of the South African farming economy. The livestock and poultry industries account for nearly half of our agricultural fortunes, with significant contributions by black farmers as part of the inclusive growth agenda. As I have noted in the past, while we now struggle with foot-and-mouth disease, what we have learnt from recent experience is that this may not be the last outbreak, and there may be future outbreaks of various diseases in other value chains. Therefore, SA, more than ever, should increase its investment in animal health by allocating better resources to infrastructure and human capital. For the Eastern Cape, the cattle industry is key and also holds potential for the province's economic recovery, along with other agricultural activities. • Wandile Sihlobo is the chief economist of the Agricultural Business Chamber of SA. The Herald
Bloomberg
18-06-2025
- Business
- Bloomberg
South Africa, US to Resume Trade Talks as Tariff Deadline Looms
South Africa will resume trade talks with the Trump administration on the sidelines of the US-Africa Business Summit next week, with less than a month to go before Washington's reciprocal tariffs are set to come into effect. The negotiating teams will aim to thrash out the details of South Africa's proposed framework agreement, which includes ramping up liquid natural gas imports, a joint fund for the exploration of critical minerals and duty-free US quotas for the auto and steel industries. Officials first presented the measures to the Trump administration when President Cyril Ramaphosa visited Washington on May 21.
