The car manufacturing industry in the UK is under threat from a lack of local component suppliers, according to Nick Reilly, chairman of GM Europe.
Reilly told the BBC this weekend that the lack of home-based parts manufacturers was the most critical issue facing the UK motor industry, which was obliged to import a high proportion of parts.
Even overseas manufacturers like Toyota and Nissan were finding it hard to compete in their UK operations, he said, because of shipping costs and an extended supply chain.
GM makes cars under the Vauxhall brand in the UK, at its facilities in Luton, Bedfordshire and Ellesmere Port, Cheshire. Reilly said that decisions made between 1970 and 1990 had contributed to the shortage of UK-based suppliers being experienced now.
"In the 70s to 90s we gave up a lot of business,” he said. “What it means is that at Luton we import a lot of components. If we don't have a decent amount of local suppliers it makes this place more difficult to be competitive.
"Frankly, I think it's the most critical issue facing the automotive industry in the UK,” he added."It's not enough to have Nissan, Toyota, and Vauxhall manufacturing the products because we'll never be able to compete with another country where the suppliers are surrounding the car plants."
