Today's Financial Times | Carmaker Lotus plans to end production in the UK

Is this confirmed news ?
https://www.ft.com/.../dc5948e6-6645-405b-a556-df06b1ad26be

 

[seriously]

Didn't they just spend a bunch of money automating and upgrading the facility?

Yup. 2022.

 

[VR1]

I just spent a day Norwich - would be absolutely devastating if true considering the economic impact of lotus on the city. However considering how much capital Lotus has sunk into the modernizing and upgrading the facility at Hethel I don’t buy it. Why would they now spend substantial money moving this facility to the US for a low volume car - that may or may not even still be in production in a few years. The EV stuff is already built in china. It’s unfortunate how much of a negative impact the US tariffs + Emissions nonsense has on the car.

 

[NorCalEmira]

Didn't they just spend a bunch of money automating and upgrading the facility?
Just speculation
Maybe moving to the US means some US industry has taken an interest. Tesla? I call my Model S the anit-Lotus. Maybe Elon is looking Ying for his Yang. Balance?

If the US is their largest market and they believe that they can meaningfully scale the business, it makes sense to avoid tariffs by producing the cars in the US. We've seen BMW, Toyota and other automakers come to the same conclusion. I hope they maintain some presence in Hethel to preserve the brand history and I'd imagine they likely will but time will tell.

 

[Six Speed Stephen]

If the US is their largest market and they believe that they can meaningfully scale the business, it makes sense to avoid tariffs by producing the cars in the US. We've seen BMW, Toyota and other automakers come to the same conclusion. I hope they maintain some presence in Hethel to preserve the brand history and I'd imagine they likely will but time will tell.

Plus Matt Windle talked about potentially building Volvos in the Hethel facility so it’s not like that investment in the factory is wasted if they don’t build Lotus there. Or they could even just sell it to Volvo.

Separately, I don’t think buyers have any concern about buying foreign cars made in the US. I’ve never heard someone complain their Toyota or BMW was made in the US or that that was a concern when buying the car.

 

[seriously]

A tricky gamble. For most cars I don't think origin matters. For sports cars or anything considered special I think it does.

M3s should come from Germany, Ferrari's from Italy and so on. I don't care where my SUV is built.

 

[Rcktmn]

Separately, I don’t think buyers have any concern about buying foreign cars made in the US. I’ve never heard someone complain their Toyota or BMW was made in the US or that that was a concern when buying the car.

I have heard people brag about their car being built in Japan and having higher quality than US/Mexico built vehicles. 4Runners, Land Cruisers/GX, Civic Type R, etc

 

[Six Speed Stephen]

A tricky gamble. For most cars I don't think origin matters. For sports cars or anything considered special I think it does.

M3s should come from Germany, Ferrari's from Italy and so on. I don't care where my SUV is built.

But is the alternative no car? Like would people buy a Lotus even if it was built in the US, than not be able to get it at all?

I find it strange how the Ford GT is the all American super car but is built in Canada by Multimatic. Don’t think most people know that

 

[Six Speed Stephen]

I have heard people brag about their car being built in Japan and having higher quality than US/Mexico built vehicles. 4Runners, Land Cruisers/GX, Civic Type R, etc

Think that’s too anecdotal. The BRZ/GR86 twins are Japanese and they have critical engine design faults that blow up.

 

[Rcktmn]

Think that’s too anecdotal. The BRZ/GR86 twins are Japanese and they have critical engine design faults that blow up.

Very true. Lotus isn't really known for their quality either, so not sure it matters as much where they're made.

 

[seriously]

But is the alternative no car? Like would people buy a Lotus even if it was built in the US, than not be able to get it at all?

I find it strange how the Ford GT is the all American super car but is built in Canada by Multimatic. Don’t think most people know that

I think the alternative is a more expensive Lotus. If it transitioned to the US, I would personally give it a year or two to understand how well it's manufactured. Feels funny saying that since the Hethel build has not been exactly issue free. Fortunately, mine has been fine.

 

[geoffbland]

But is the alternative no car? Like would people buy a Lotus even if it was built in the US, than not be able to get it at all?

My guess is that most enthusiasts in the UK and EU would not buy a Lotus built in the US. At that point the heritage is lost.
Probably the same as they would not want a Porsche built outside of Germany or a Ferrari built outside of Italy - or even a Mustang built outside the US (looking at the E-Mustang).
I would not buy a Lotus built outside of Hethel. The alternative indeed would be no car and to find another brand.
When you are just using the badge to sell an SUV or sporty saloon it is probably different then you are selling to a easier audience - but this probably is not for the enthusiast sports car market.

 

[Biggles of Norwich]

Didn't they just spend a bunch of money automating and upgrading the facility?
Just speculation
Maybe moving to the US means some US industry has taken an interest. Tesla? I call my Model S the anit-Lotus. Maybe Elon is looking Ying for his Yang. Balance?

The Lotus Elon ...........

 

[Biggles of Norwich]

My guess is that most enthusiasts in the UK and EU would not buy a Lotus built in the US. At that point the heritage is lost.
Probably the same as they would not want a Porsche built outside of Germany or a Ferrari built outside of Italy - or even a Mustang built outside the US (looking at the E-Mustang).
I would not buy a Lotus built outside of Hethel. The alternative indeed would be no car and to find another brand.
When you are just using the badge to sell an SUV or sporty saloon it is probably different then you are selling to a easier audience - but this probably is not for the enthusiast sports car market.

Oh yes, the Mustang SUV abomination that Ford are selling in Europe - makes me cringe.
It's funny because MG continues as a brand in the UK, but it's badge engineered Chinese SUVs. No true MG enthusiast would buy one. However, the new MG Cyberster electric sports car does look interesting, if you are into electrics.

 

[Six Speed Stephen]

My guess is that most enthusiasts in the UK and EU would not buy a Lotus built in the US. At that point the heritage is lost.
Probably the same as they would not want a Porsche built outside of Germany or a Ferrari built outside of Italy - or even a Mustang built outside the US (looking at the E-Mustang).
I would not buy a Lotus built outside of Hethel. The alternative indeed would be no car and to find another brand.
When you are just using the badge to sell an SUV or sporty saloon it is probably different then you are selling to an easier audience - but this probably is not for the enthusiast sports car market.

I agree in theory, but the Ford GT is built in Canada, as well as the Mustang GTD.

It also looks like the AMG One was built in the UK not Germany.

 

[EspritGuy]

BIG IF TRUE!!!

Bam! And there it is, just like old times.

 

[MickOpalak]

I agree in theory, but the Ford GT is built in Canada, as well as the Mustang GTD.

It also looks like the AMG One was built in the UK not Germany.

And the Camaro.

 

[Tomwa]

I agree in theory, but the Ford GT is built in Canada, as well as the Mustang GTD.

It also looks like the AMG One was built in the UK not Germany.

Yeah I just think you are wrong.

The two fords are built by Multimatic, which is a race shop that Ford is partnering with. Obviously there's a lot of pieces Ford supplies but its no different than the Shelby cars of old. Ford supplies parts, Shelby no-where in sight of a Ford factory puts them together.

AMG One, was effectively built close to the Formula 1 team for AMG Mercedes...which is located where? Oh right. The UK.

People will care. Will more people care than new buyers? Hard to say. But 100% for cars that matter people talk about where they came from and what factories put their hands to it.

I don't care where a Nissan Versa is built, but I do care where the GT-R is. I don't care where a BMW i3 is built, but I do care about the M3.

IMO the only way Lotus makes a US Manufacturing work, is if they basically install into an existing heavy engineering and race shop. Put it in Indianapolis and in a building next door to Chip Ganassi racing. Something like that. If you just plunk it down wherever you can put a cheap facility and it comes with nothing to infuse a sense of legitimacy people will just keep holding up examples of bad/negatives in the products and blame the new factory and bad American standards, even if the cars have less faults and flaws than they currently do out of Hethel.

That's just the way things are. Some people will get over it, others will complain endlessly and you will lose some sales. It's up to Geely and Lotus management to decide. No matter what they won't have a new factory overnight, likely they will have to co-produce cars in both facilities before switching over more production to a US factory if one were to exist.

In the mean time... guess I can scour the car for union jacks and look forward to scratching them off like a good tea dumping patriot.

 

[Six Speed Stephen]

Yeah I just think you are wrong.

The two fords are built by Multimatic, which is a race shop that Ford is partnering with. Obviously there's a lot of pieces Ford supplies but its no different than the Shelby cars of old. Ford supplies parts, Shelby no-where in sight of a Ford factory puts them together.

AMG One, was effectively built close to the Formula 1 team for AMG Mercedes...which is located where? Oh right. The UK.

People will care. Will more people care than new buyers? Hard to say. But 100% for cars that matter people talk about where they came from and what factories put their hands to it.

I don't care where a Nissan Versa is built, but I do care where the GT-R is. I don't care where a BMW i3 is built, but I do care about the M3.

IMO the only way Lotus makes a US Manufacturing work, is if they basically install into an existing heavy engineering and race shop. Put it in Indianapolis and in a building next door to Chip Ganassi racing. Something like that. If you just plunk it down wherever you can put a cheap facility and it comes with nothing to infuse a sense of legitimacy people will just keep holding up examples of bad/negatives in the products and blame the new factory and bad American standards, even if the cars have less faults and flaws than they currently do out of Hethel.

That's just the way things are. Some people will get over it, others will complain endlessly and you will lose some sales. It's up to Geely and Lotus management to decide. No matter what they won't have a new factory overnight, likely they will have to co-produce cars in both facilities before switching over more production to a US factory if one were to exist.

In the mean time... guess I can scour the car for union jacks and look forward to scratching them off like a good tea dumping patriot.

You can say you disagree but your point is that no one will want sports cars unless they’re made in the same country as their founding.

With those examples you are wrong. They’re literally produced in a country other than their origin and they have plenty of demand.

 

[DerTheDer]

Maybe the newer generation cares less of where it is built. I know I wouldn't personally care, as long as its a solid car. I dont care about the racing heritage, that died in 94.

 

[Nick in Sydney]

Maybe moving to the US means some US industry has taken an interest. ?

Nah. They said on the investor call that Lotus is in the early stages of examining some form of US production to be shared by multiple Geely brands. The US tariffs are a serious problem for all the Geely brands that currently manufacture in China and want to sell in America . . . Volvo, Polestar, Lotus, Zeekr.