The UK government is backing Lotus’s decision to keep its Hethel factory in Norfolk open, following assurances given to Business Secretary Jonathan Reynolds. This outcome dispels fears that the sports car maker was considering moving production to the US, a move that would have jeopardized 1,300 jobs.
An urgent Sunday meeting between Reynolds and Lotus/Geely management was pivotal in clarifying the company’s intentions. A Department for Business and Trade spokesperson confirmed Reynolds “was reassured by management that they are committed to their UK operations and have no plans to close their Hethel plant.”
Lotus had paused production in mid-May due to US tariffs, but with these duties set to decrease significantly, the company is preparing to resume full operations. Lotus has consistently emphasized “the UK is the heart of the Lotus brand,” reinforcing its commitment to its British manufacturing base.
This positive development aligns with the government’s industrial strategy to support key sectors like automotive. The government’s commitment to slashing energy costs for manufacturers and providing substantial R&D funding further strengthens the environment for continued high-value production in the UK.