It is no secret to anyone that the uncertainty surrounding Britain's impending departure from the European Union has many companies on edge regarding future business deals in the country. With no departure deal in sight, one large corporation has decided not to make an investment in Britain. Japanese car manufacturer Nissan has stated it is scrapping plans to build a new model in the city of Sunderland. In its decision the company cited uncertainty over Brexit as the reason to not pursue a plant in Sunderland. The decision further highlighted employers' fears of a no-deal departure by the UK from the European Union.
The automotive industry of the UK has been hit extremely hard since the vote to leave the European Union. Investment has decreased dramatically and the Society of Motor Manufacturers and Traders stated in June that investment in models, equipment and facilities in Britain was half of what it was the year prior. Clearly an indictment of how car manufacturers feel regarding the aftermath of the Brexit vote. The head of Britain's top business lobby group has also warned that the country's car industry could be wiped out by Brexit.
The European Union provided exceptional trading terms for companies to do business across borders throughout Europe. With the confusion and uncertainty of Brexit companies are weary of what foreign trading will look like without the ease of the EU's trade agreements. Many questions remain. Will Britain reach a satisfactory agreement with the EU? What other industries are most at risk of leaving the country? What effect will this have on the economies of the other nations in Europe?
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