Finance
Car maker Lotus says it has no plans to close English factory
Published by Global Banking & Finance Review®
Posted on June 28, 2025
2 min readLast updated: January 23, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on June 28, 2025
2 min readLast updated: January 23, 2026
Lotus Cars denies plans to close its Hethel factory, ensuring continued operations amid UK auto industry challenges.
LONDON (Reuters) -British-based sportscar company Lotus said it has no plans to close a factory in eastern England, following a report in the Financial Times which said manufacturing there could end with the loss of 1,300 jobs.
"Lotus Cars is continuing normal operations, and there are no plans to close the factory," Lotus said in an emailed statement on Saturday.
"We are actively exploring strategic options to enhance efficiency and ensure global competitiveness in the evolving market."
Lotus is owned by China's Geely and Malaysia's Etika Automotive and the brand produces cars in Britain and China.
Any closure of the factory in Hethel, Norfolk, would have been a blow for Britain's auto industry which is suffering as a result of tariffs imposed by the United States. Britain's vehicle production dropped 32.8% from a year ago industry data showed on Friday.
The Financial Times said the government had intervened to signal it would offer Lotus support after news emerged that the factory could shut, but the Department for Business and Trade did not confirm that.
"The government does not comment on speculation or the commercial affairs of private companies," a spokesperson for the department said on Saturday.
While Britain has negotiated a trade deal with the U.S. which will reduce the tariffs for a quota of exported vehicles, it does not come into force until the end of June. Meanwhile, car makers have reported lower output and exports to both the U.S. and the European Union, according to economic data.
(Reporting by Sarah Young; Editing by Andrew Heavens)
No, Lotus has confirmed that it has no plans to close its factory in Hethel, Norfolk.
Lotus Cars is continuing normal operations and is exploring strategic options to enhance efficiency.
A closure of the Hethel factory would be detrimental to Britain's auto industry, which is already facing challenges due to tariffs.
The government has indicated it would offer support to Lotus, although it does not comment on speculation regarding private companies.
The trade deal negotiated by Britain with the U.S. will reduce tariffs for a quota of exported vehicles, but it does not come into force until the end of June.
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