Lotus Considering Shifting UK Production To U.S.

Sports car manufacturer Lotus is considering ending production at its historic U.K. facility in favor of building a new plant in the U.S., Theo Leggett reported for BBC.

Lotus presently manufactures cars in both Norfolk and Wuhan, China. I Photo: Lotus Cars Facebook

Such a move would put 1,300 jobs at risk at the company’s headquarters in Hethel, Norfolk. Lotus declined to comment when asked about the plans—first reported by the Financial Times—but sources within the company told the BBC that production relocation is under review.

The development follows a temporary suspension of production in Hethel, attributed to disruption caused by new U.S. tariffs on imported vehicles.

The American market is a key one for Lotus, but the new 25% tariffs on cars and car parts have made exports financially difficult.

Data released recently showed that U.K. car exports to the U.S. have halved, with some manufacturers halting shipments entirely due to the tariffs imposed by President Trump.

While the U.K. government and Trump administration have agreed to reduce tariffs on British-made cars to 10%, that deal is not set to take effect until the end of June. Until then, manufacturers have had to absorb the higher 25% rate.

Lotus is majority-owned by China’s Geely Group, which is currently reorganizing its diverse automotive portfolio—including brands such as Volvo, Polestar, and Lynk & Co.

The company presently manufactures cars in both Norfolk and Wuhan, China. Founded in the early 1950s by engineer Colin Chapman, Lotus has been based in Norfolk since the 1960s.