GENEVA: Production of BMW’s Mini will still be disrupted if there is a delay to Brexit, the carmaker’s CEO said on Tuesday, signaling the auto industry faces upheaval even if Britain avoids crashing out of the European Union without a withdrawal deal on March 29.
Britain’s car industry, which employs around 850,000 people and is largely owned by foreign manufacturers, has been rushing through plans to cope with the potential disruption of a no-deal Brexit, such as building up inventories and in some cases organizing plant closures around Brexit day.
However, Prime Minister Theresa May said last week that if UK lawmakers once again rejected her Brexit deal, she would offer them a series of votes that could lead her to ask Brussels for a delay.
BMW said in September it was moving the annual maintenance shutdown for its Mini plant in Oxford, southern England, to April in case of disruption caused by Brexit.
“We have made preparations. If Brexit is delayed, we can postpone some measures, but the early summer break remains scheduled for April,” CEO Harald Krueger said at the Geneva car show on Tuesday.
Shutdowns and stockpiles take time and money to arrange, as for example employee holidays and suppliers are affected, making them hard to move.
And so, while carmakers are keen to avoid a no-deal Brexit, they also do not want the process to drag on.
BMW made 234,183 cars in Britain last year, out of the country’s total production of about 1.5 million.
just like to get certainty as quickly as possible,” Johan van Zyl, president and CEO of Toyota Europe said at an event late Monday, echoing recent comments from UK luxury sports car maker Aston Martin.
Zyl said Brexit planning had come at a “huge cost” and warned Britain needed to secure a frictionless trade deal with the EU.
“If anything happens between the EU and UK that will have a negative impact on competitiveness of the UK operations, it will put the future in doubt,” he said, referring to the entire UK car industry.
Japan’s Toyota made 129,070 cars at its Burnaston plant in central England in 2018 and is currently ramping up production of its new Corolla model.
Carlos Tavares, CEO of Peugeot and Citroen maker PSA Group, was more relaxed about a potential Brexit delay, saying he was in favor if the time was used to find a deal.
Daimler boss Dieter Zetsche, meanwhile, was hopeful a deal could be reached.
“It’s a game of poker. I am an optimistic person, and I hope that a no-deal Brexit is not realistic,” he said.
BMW: Mini output will still be disrupted if Brexit delayed
BMW: Mini output will still be disrupted if Brexit delayed
- Britain’s car industry employs around 850,000 people and is largely owned by foreign manufacturers
- While carmakers are keen to avoid a no-deal Brexit, they also do not want the process to drag on
Saudi stock market opens its doors to foreign investors
RIYADH: Foreigners will be able to invest directly in Saudi Arabia’s stock market from Feb. 1, the Kingdom’s Capital Market Authority has announced.
The CMA’s board has approved a regulatory change which will mean the capital market, across all its segments, will be accessible to investors from around the world for direct participation.
According to a statement, the approved amendments aim to expand and diversify the base of those permitted to invest in the Main Market, thereby supporting investment inflows and enhancing market liquidity.
International investors' ownership in the capital market exceeded SR590 billion ($157.32 billion) by the end of the third quarter of 2025, while international investments in the main market reached approximately SR519 billion during the same period — an annual rise of 4 percent.
“The approved amendments eliminated the concept of the Qualified Foreign Investor in the Main Market, thereby allowing all categories of foreign investors to access the market without the need to meet qualification requirements,” said the CMA, adding: “It also eliminated the regulatory framework governing swap agreements, which were used as an option to enable non-resident foreign investors to obtain economic benefits only from listed securities, and the allowance of direct investment in shares listed on the Main Market.”
In July, the CMA approved measures to simplify the procedures for opening and operating investment accounts for certain categories of investors. These included natural foreign investors residing in one of the Gulf Cooperation Council countries, as well as those who had previously resided in the Kingdom or in any GCC country.
This step represented an interim phase leading up to the decision announced today, with the aim of increasing confidence among participants in the Main Market and supporting the local economy.
Saudi Arabia, which is more than halfway through an economic plan to reduce its dependence on oil, has been trying to attract foreign investors, including by establishing exchange-traded funds with Asian partners in Japan and Hong Kong.
