Brexit means damage limitation for UK's car makers

Catherine Newman

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02:42

One of the most senior figures in the UK's car industry has again warned about the risk of tariffs as Brexit becomes reality.

In the final hours before the UK exited the EU, Mike Hawes, CEO of The Society of Motor Manufacturers and Traders (SMMT), spoke to CGTN about the impact of Brexit.

"We will work with governments to try to make sure that automotive is at the forefront. Because if it works for the UK automotive industry, it will also work for the European automotive industry, because we want the same thing – tariff-free trade, as frictionless as possible, no quotas, maintain the competitiveness of European industry, of which the UK automotive is part and we're trading globally."

Hawes also said that in the absence of a free-trade agreement, the main challenge will be tariffs undermining the competitiveness of the industry.

Hawes said: "Brexit for us has always been about damage limitation ... We already, like so many of the European manufacturers, export globally. Brexit, undoubtedly, is going to put up more barriers, this industry is agile, it's adaptable, it will find ways to overcome barriers, but we need to avoid the highest of barriers, which is what a tariff would be."