Business Secretary Eases Norfolk’s Lotus Factory Fears

Business Secretary Jonathan Reynolds has successfully eased fears surrounding the Lotus factory in Norfolk, receiving assurances that the plant will not be closing. The urgent meeting on Sunday addressed concerns that the sports car maker was considering moving production from the UK to the US, a move that could have jeopardized 1,300 jobs.
The Department for Business and Trade confirmed that Reynolds met with Lotus and Geely, and “was reassured by management that they are committed to their UK operations and have no plans to close their Hethel plant.” This direct confirmation brings relief to the local community and the UK’s automotive sector.
The speculation arose after Lotus paused production in mid-May due to US tariffs. However, with these tariffs due to be significantly reduced on Monday, the economic environment for Lotus’s exports to the US (accounting for 60% of Emira sales) has improved, allowing for a resumption of normal operations.
Lotus had consistently maintained that “the UK is the heart of the Lotus brand,” a sentiment now firmly backed by its commitment to Hethel. The government’s pledge of support for the wider car sector, including energy cost reductions and substantial R&D funding, further cements the positive outlook.