Lotus has confirmed its Hethel plant in Norfolk is not moving, despite earlier considerations driven by US tariffs. The sports car manufacturer reassured Business Secretary Jonathan Reynolds it has no plans to shut the factory, securing 1,300 jobs as production prepares to resume.
The urgent Sunday meeting aimed to clarify Lotus’s intentions after it emerged that the carmaker was considering ending production of its sports cars in the UK and moving it to the US, largely due to the 25% US tariffs. A Department for Business and Trade spokesperson stated that 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, but with these tariffs due to be reduced to 10% on Monday, the economic environment for Lotus’s significant exports to the US has dramatically improved, allowing for a resumption of normal operations.
Despite earlier discussions by Lotus Technology’s CEO about exploring US “localisation plans” to avoid tariff influence, the immediate future sees the Hethel plant continuing its operations, producing both the Emira sports car and an electric hypercar. The government’s broader commitment to supporting the automotive sector further underpins this positive outlook.
