TOKYO – Honda announced Tuesday its intention to close its car plant in western England in 2021, thus putting 3,500 jobs at risk, which will bring a new blow to the British economy facing on its release March 29 from the European Union.

The Japanese automaker announced the decision at a press conference in Tokyo, where Honda President and CEO Takahiro Hachigo told reporters that the decision was based on what made the most sense for his company. global competitiveness given the need to accelerate its production of electric vehicles.

Brexit was not the main factor behind the decision, he insisted.

"We still do not know what kind of changes Brexit will bring at this stage," he said. "We have to wait to get a better idea of ​​the situation."

Hachigo said the company would immediately begin discussions with workers assigned to the Swindon factory.

"I regret it a lot," he said, adding that "it was the best choice under the circumstances."

Honda Motors President and CEO Takahiro Hachigo reacted at a press conference held on February 19, 2019 at the automaker's headquarters in Tokyo, Japan. Hachigo announced the restructuring of the company in the automotive sector. (Photo11: FRANCK ROBICHON, EPA-EFE)

Honda manufactures its popular Civic model at the plant, 115 kilometers west of London, with a production of 150,000 cars a year. Its restructuring aims to adapt its operations to the increased demand in Asia and North America, said Hachigo.

The next Civic model sold in Britain will be exported from Japan, the company said.

The company announced that it will also adjust its operations in Turkey, where it manufactures 38,000 Civic sedans per year. He said he would continue to operate in this country and organize a "constructive dialogue" with local stakeholders.

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British companies are issuing increasingly urgent warnings about the damage caused by the uncertainty surrounding Brexit. The UK has not yet sealed an agreement setting out the terms of the divorce and establishing the trade rules applicable after Brexit.

During the presentation of the restructuring plan, Hachigo stressed that Honda was trying to adapt to a rapidly changing industry.

"We need to move faster," he said.

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Haruka Nuga in Tokyo, associated with the press, and Elaine Kurtenbach, editor of AP Business magazine in Bangkok, also contributed.

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