No US Shift: Lotus Confirms Hethel Plant Stays in UK

Lotus has put an end to speculation about a shift in production to the US, confirming that its Hethel factory in Norfolk will remain in the UK. The decisive assurance was given to Business Secretary Jonathan Reynolds during a Sunday meeting, dispelling fears that 1,300 jobs could be lost if the sports car maker moved its operations abroad. The news is a significant relief for the UK’s automotive sector.
Concerns mounted after Lotus temporarily paused production in mid-May, with reports suggesting its Chinese owner, Geely, was looking at manufacturing options in the US, including for the Emira sports car. However, 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 preparing to resume full production at its only UK site as US tariffs on car imports are set to decrease to 10%. The company had previously emphasized that “the UK is the heart of the Lotus brand” and its largest commercial market in Europe, aligning with the current decision to maintain its domestic manufacturing base.
The government has also pledged robust support for the automotive industry, encompassing measures to reduce energy costs for manufacturers and significant funding for capital and R&D. This collaborative approach aims to enhance the competitiveness and growth of the UK’s car sector.