The associations want an ambitious free-trade region. Without such an agreement, they said, there would be a 10% tariff on cars passing between the UK and EU, and a 22% tariff on vans and trucks under the UK global tariff.
'These would need to be passed on to consumers,' the group said. Car-makers themselves and companies along the supply chain would also face tariffs on parts.
The UK's plants would face EUR52.8bn of costs over the next five years, while EU plants would share a hit of EUR57.7bn.
Mike Hawes, CEO of the UK's SMMT automotive trade body said the figures paint a bleak picture. 'The shock of tariffs and other trade barriers would compound the damage already dealt by a global pandemic and recession, putting businesses and livelihoods at risk,’ he said.
He concluded with a call to politicians and negotiators to pull out every stop to secure an ambitious free trade deal now, before it is too late. ‘Our industries are deeply integrated, so we urge all parties to recognise the needs of this vital provider of jobs and economic prosperity,’ he said.