2006 Lotus Elise Supercharged White on 2040-cars

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UK car output falls 14% in March, may get worse with no-deal Brexit

LONDON — British car output fell for the 10th month in a row in March, hit by a slowdown in key foreign markets, and the sector stands to suffer a lot more if the country leaves the European Union without a deal, an industry body said on Tuesday. Output tumbled by an annual 14.4 percent to 126,195 cars in March, the Society of Motor Manufacturers and Traders said. Exports, which account for nearly four out of every five cars made in Britain, were down by 13.4 percent. The SMMT said analysis it had commissioned predicted output would fall this year to 1.36 million units from 1.52 million in 2018, assuming London can secure a transition deal with the EU. If Britain has to rely instead on World Trade Organization rules for its trade with the bloc, which include import tariffs, output is forecast to fall by around 30 percent to 1.07 million units in 2021, returning to mid-1980s levels, the SMMT said. The forecasts were produced for SMMT by AutoAnalysis, a consultancy. Prime Minister Theresa May has secured a delay to the Brexit deadline until Oct. 31, giving her more time to try to break an impasse in parliament over the terms of Britain's departure from the EU. Foreign minister Jeremy Hunt traveled to Japan earlier this month to try to persuade the Japanese government and Toyota, which has a big presence in Britain, that London was determined to avoid a no-deal Brexit. "Just a few years ago, industry was on track to produce 2 million cars by 2020 — a target now impossible with Britain's reputation as stable and attractive business environment undermined," SMMT chief executive Mike Hawes said. "All parties must find a compromise urgently so we can set about repairing the damage and diverting energy and investment to the technological challenges that will define the future of the global industry." (Reporting by William Schomberg, editing by David Milliken)

Lotus has a new sports car in the pipeline

Lotus is bringing a new, yet-unnamed model to the market next year, as Autocar reports. The new sports car is likely to be based on a significantly updated Evora platform, and it will function as a link between the current lineup and a new portfolio, which can incorporate even sport utility vehicles and electrified products as well as a completely new sports car platform. To appeal to less-than-hardcore Lotus buyers, the new model will offer improved practicality and livability, with better ergonomics and comfort than current Lotus models. It will be a challenge to achieve this without compromising on weight; the earlier attempted Lotus re-invention in the early 2010s was based on five simultaneously unveiled concept cars that weren't as lightweight as desired, nor based on a solid foundation. Ultimately, the concepts led nowhere, and the then-CEO was terminated. When the time comes to update the Elise, Exige and Evora in the next decade, they will be based on a new architecture under development that will meet U.S. regulations from the get-go. The recently appointed CEO, Phil Popham, told Autocar: "The focus for now is on replacing the products we've got today — the sports cars," said Popham. "In a long time, Lotus has not had sight of what is required. You need a longterm plan, a product plan and a business plan locked down with investment. We have that plan locked in." Lotus' tie-in with new owner Geely can result in funding in the billions, with Geely assisting with engineering and manufacturing. Crucial Lotus input such as design and product planning will continue in Hethel, UK, but with Geely helping out elsewhere, in Coventry, Sweden, Germany and China. Currently, Lotus continues to use Toyota engine technology, but there is a possibility that future Lotus models will use Geely-related powertrain parts.

Renault bailing out Lotus F1 Team to pay $4M tax bill

The road ahead looks to be clear for Renault to reacquire the Formula One team that once bore its name. The latest reports have it that the French automaker is prepared to pay a multi-million-dollar tax bill to the British government to keep the Lotus team from entering bankruptcy proceedings. According to the report from Autosport, the Lotus F1 Team owes a massive GBP2.7 million – equivalent to over $4 million at current exchange rates – to the Her Majesty's Revenue & Customs authority for income tax and national insurance (Brit-speak for social security). The team was supposed to have withheld and submitted the funds on behalf of its 400 employees dating back to June, but since it has yet to pay up, it's being taken to court by the UK government. Apparently unable to foot the bill, the cash-strapped team looked poised to enter bankruptcy just as the Caterham and Manor/Marussia teams did last year. But Renault is now poised to step in to the team's rescue. Those with a longer memory for F1 history will point out that the Lotus team – which has little to do with the sports car manufacturer of the same name – dates back to 1981, and has changed title and ownership several times over the years. What was founded as Toleman was then taken over by Benetton. Renault acquired the team in 2000, but sold it to its current owners Genii Capital in 2009. The team based in Enstone, UK, won back-to-back world championships with Michael Schumacher in 1994-95 and again with Fernando Alonso in 2005-06, but has struggled both competitively and financially over recent years. Consigned to an engine-supply role since divesting itself of majority interest in the Lotus team, Renault has been rumored to be preparing to reacquire the outfit from Genii – and in all likelihood switch it back from Mercedes power to its own. Paying the outstanding tax bill will likely emerge as the first step in that reacquisition. Once it takes over full ownership again, Renault is expected to rebrand the team in its own image, and will then have to decide on driver and other personnel contracts for next season. Related Video: