Lotus has insisted it has “no plans” to shut down any of its UK manufacturing sites following reports it was weighing a potential production shift to the United States.
The carmaker, best known for its lightweight sports cars and deep-rooted British heritage, was reported by the Financial Times to be reviewing whether to move some production overseas—putting as many as 1,300 jobs at risk at its Hethel headquarters in Norfolk.
In a statement released on X (formerly Twitter), the company confirmed that it is “actively exploring” new global market opportunities but stressed that “Lotus Cars is continuing normal operations. There are no plans to close any factory.”
Sources at Lotus told the BBC the situation remains under review as the firm evaluates its international production footprint. A key factor driving discussions is the imposition of 25% tariffs on imported vehicles and car parts by the US, a significant market for Lotus. The tariff hike has temporarily disrupted production in Hethel and complicated transatlantic sales.
The Business Secretary, Jonathan Reynolds, is expected to hold talks with Lotus’s owners in a bid to reassure both the company and local stakeholders.
“Lotus remains committed to the UK, to our customers, employees, dealers, suppliers, as well as our proud British heritage,” the company said in a follow-up statement, emphasising the importance of its Norfolk roots.
The uncertainty has prompted local political intervention. Ben Goldsborough, Labour MP for South Norfolk, said he was “deeply concerned” by the rumours surrounding a potential closure of the Hethel plant.
Posting on Facebook, he said he had held “telephone conversations” with Lotus and government officials and vowed to fight to keep the facility open. “I want to be absolutely clear: I will do everything in my power to ensure that the Hethel facility remains operational and that Lotus continues to thrive in Norfolk,” he said.
Lotus’s Hethel site has been its manufacturing base since 1966 and recently underwent major investment as part of the company’s transition to electric vehicles. The firm, now majority-owned by China’s Geely, has been expanding its global ambitions, with a growing focus on North America.
While speculation about a US facility has reignited concerns about Britain’s competitiveness as an EV manufacturing hub, Lotus’s messaging remains consistent: the brand may be going global, but it is not abandoning its UK foundations—for now.
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Lotus denies plans to close Hethel factory amid US expansion talks