Energy News
CAR TECH
Starmer unveils support for tariff-hit auto sector
Starmer unveils support for tariff-hit auto sector
By Peter HUTCHISON
London (AFP) April 7, 2025

UK leader Keir Starmer vowed Monday to "shelter British business from the storm" of global economic disruption as he loosened electric vehicle targets for carmakers impacted by US President Donald Trump's tariffs.

The world's auto sector has been hit hard by Washington's sweeping new levies, which impose a 25 percent tariff on vehicles imported into the United States.

Starmer unveiled plans to give manufacturers more flexibility in transitioning to electric vehicles in a bid to boost the sector as it battles the higher costs of the levies.

He told staff and journalists at a car factory in England's West Midlands region that the measures were a "downpayment" and not "the extent of the turbocharging" to help businesses deal with tariffs.

"In the coming days and weeks, we're going to use industrial policy to shelter British business from the storm," the prime minister added.

He called the levies "a huge challenge" for the future, warning that the "global economic consequences could be profound".

In an early sign of the fallout, UK luxury car manufacturer Jaguar Land Rover announced over the weekend that it would "pause" shipments to the US in April as it addressed "the new trading terms".

Starmer said on Sunday that he was prepared to directly intervene to support affected sectors, before later unveiling his plans to help the auto industry.

These included confirmation that all sales of new petrol and diesel cars will be outlawed by 2030, with hybrids to be sold until 2035 and small manufacturers exempt.

The government has already announced �2.3 billion ($3.0 billion) to boost the production of electric vehicles, and on Sunday said that it would ease rules on how manufacturers can achieve the 2030 target.

Under the new plans, carmakers can fall below the annual target for producing electric vehicles manufactured until 2026, if they make up for that shortfall before 2030.

- 'Weakens incentives' -

The package of measures will exempt small and micro-volume manufacturers, including supercar brands such as McLaren and Aston Martin, from the targets.

Vans with an internal combustion engine will be allowed to be sold until 2035.

Support for the UK car industry, which employs 152,000 people and adds �19 billion annually to the economy, "will be kept under review as the impact of new tariffs becomes clear", the government said.

"These are challenging times, but we have chosen to come here because we are going to back you to the hilt," Starmer added during Monday's visit.

Vehicle manufacturers welcome the announcement but warned that the government would likely have to do more.

Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders, said the government had "rightly listened to industry" and "recognised the intense pressure manufacturers are under".

"Given the potentially severe headwinds facing manufacturers following the introduction of US tariffs, greater action will almost certainly be needed to safeguard our industry's competitiveness," he added.

But Doug Parr of environmental group Greenpeace said Starmer's announcement "weakens the incentives driving the shift" and "risks consolidating Chinese leadership in the sector".

The government is believed to have been considering relaxing the electric vehicle mandate for a while but the announcement was brought forward because of Trump's tariffs.

It is the latest example of his actions influencing British policy after Starmer announced in February plans to increase defence spending.

pdh/cw

Jaguar Land Rover

Related Links
Car Technology at SpaceMart.com

Subscribe Free To Our Daily Newsletters
Tweet

RELATED CONTENT
The following news reports may link to other Space Media Network websites.
CAR TECH
Fatal Xiaomi crash raises questions about assisted driving tech in China
Beijing (AFP) April 2, 2025
Chinese EV maker Xiaomi said it would cooperate with a police investigation into a fatal crash involving one of its cars which had been in autonomous mode just before the accident. Three college students died on Saturday night after their Xiaomi SU7 hit a concrete barrier on a section of the Dezhou-Shangrao Expressway in eastern Anhui province. Before the crash, the vehicle was in Xiaomi's Navigate On Autopilot (NAO) assisted driving mode, traveling at 116 kilometres per hour (72 miles per hour) ... read more

CAR TECH
Iraq signs deal with US firm to produce 24,000 MW of electricity

EU delays 2040 climate target until summer

Cuba looks to sun to solve its energy crisis

Tajikistan to jail people for illegal electricity use

CAR TECH
Smart home platform lowers energy costs and boosts grid resilience

Battery boom drives Bangladesh lead poisoning epidemic

Commercial fusion milestone sets stage for next-gen power

A lifetime power source in miniature form

CAR TECH
Chinese energy giant Goldwind posts annual growth as overseas drive deepens

Clean energy giant Goldwind leads China's global sector push

Engineers' new design of offshore energy system clears key hurdle

Student refines 100-year-old math problem, expanding wind energy possibilities

CAR TECH
Cuba looks to sun to solve its energy crisis

Optical advances offer boost to next-generation solar module designs

Modi to kick off construction of India-Sri Lanka solar plant

Effect of sulfur composition on tin sulfide for improving solar cell performance

CAR TECH
Study explores radiation-driven chromium chemistry in molten salt reactors

Framatome and TechnicAtome complete acquisition of valve manufacturer

Framatome to upgrade digital systems at Swiss Leibstadt nuclear facility

WPI researcher to explore efficient uranium extraction from industrial wastewater

CAR TECH
Tunisian startup turns olive waste into clean energy

Airlines cast doubt on EU sustainable fuel targets

Eco friendly low-cost energy storage system from pine biomass

Why Expanding the Search for Climate-Friendly Microalgae is Essential

CAR TECH
Talks with Trump a necessity for sanctions-hit Iran

Venezuelan army on 'alert' for alleged false-flag attack

Yemen rebels say four killed in US strikes on west

US jury orders Chevron pay $745 mn for pollution

CAR TECH
Morocco 'water highway' averts crisis in big cities but doubts over sustainability

Dutch climate group says suing top bank ING

SEC ends US companies' need to release climate impact data

'We are not in crisis': chair of IPCC climate body to AFP

Subscribe Free To Our Daily Newsletters




The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.