I’ve often debated with others and myself about foreign ownership of UK manufacturing and I’ve come to conclusion that it’s better to have manufacturing and workforce in the UK than the corporation tax the government is missing out on
For a number of reasons
Jobs means PAYE tax revenues
Jobs means local economies thriving
Jobs means local supply chains
Jobs means training and knowledge
Whereas a wholly owned UK company doesn’t guarantee any profit or any income from corporation tax or any shareholder wealth
Just about all the large UK sited manufacturers owned abroad will make sure that the profit from everything they do here will go back to the country of domicile. usually in car manufacturing it’s through buying an expensive part or parts artificially inflated from that country
With Honda in the 80’s it was the gearbox which came from Japan
Re the imported parts I agree.
When I worked in Llanelli Radiators we made BL rads.
The Triumph Acclaim joint stopgap venture had 2 variants for 1.3 and 1.5 engine’s.
Kits of components came from Japan and we assembled them. Plastic tanks (yuck).
In typical Japanese thinking we got the exact numbers so if there were any scrapped we were short. It was always a battle to recoup them. Numbers were determined by car volumes so a similar tight numbers game across the board.
