The Society of Motor Manufacturers and Traders, a UK motor industry trade association, has reportedly warned through a report that up to 90,000 UK car manufacturing sector jobs might be lost unless the government raises support for electric car production to levels seen in the US and Germany.
Industry leaders have accused the government of gross inaction, claiming that it is doing very little to scale up UK's electric car manufacturing capacity and meet climate emergency goals.
According to the new industry report, apart from including subsidies for consumers to buy electric vehicles, more incentives were needed for different multinationals to establish electric battery manufacturing plants in the UK, and at least an additional 2.3 million charging outlets country-wide by the end of the decade.
Mike Hawes, Society of Motor Manufacturers and Traders chief executive stated that the UK once was one of the largest bases for manufacturing passenger cars and commercial vehicles worldwide. However, support on both the consumer demand and supply sides failed to match that in the US and Europe.
Soon, it is anticipated that Nissan would be announcing plans for the country's first gigafactory adjacent to its Sunderland facility. However, the report claims that the industry requires many more.
Even if the UK meets its electric engine objectives, the country’s lithium battery capacity would be around 12-gigawatt hours (GWh) by 2025, which is minuscule compared to the anticipated 164GWh in Germany and 91GWh in the US.
Manufacturers have warned that the shortage of gigafactories in the UK is holding down the auto industry.
Aston Martin Lagonda COO, Michael Straughan stated that the UK car industry is losing its competitiveness with every day that does not see investments coming into its battery-making capabilities, the industry has got to commit at some point to at least one gigafactory.
The blueprint of the industry is outlined in a new report, it claims that the government is already working with businesses to bring more electric battery production facilities into the UK, but it also demands a binding target of battery capacity of 60GWh by 2030 in order to fulfill its pledge to level up throughout the country.