Ford, BMW execs warn on no-deal Brexit risks
Ford warned on Thursday that the chances of a no-deal Brexit have risen in the last few months as new Prime Minister Boris Johnson ramps up preparations for a possible disorderly exit in October.
The U.S. automaker operates two powertrain plants in Britain, one of which it is planning to close due to falling demand for the engine it makes there.
“It’s a bit of a rocky road,” Ford President of Automotive Joseph Hinrichs told BBC radio.
“The odds of a no-deal Brexit certainly have increased in recent months … The key is going to be, whatever happens, what happens at the borders, what happens in the ports and importantly what happens to the pound sterling when it’s all said and done,” he said.
Separately, BMW CEO Harald Krueger said on Thursday he hoped that Johnson would consider business interests as he prepares to negotiate Britain’s exit from the European Union.
Leaving the common trading bloc without a negotiated trade deal would be a lose-lose outcome for both Britain and the EU, Krueger said in a call to discuss the company’s second quarter earnings on Thursday.
“Listen to the economy and listen to the people. He needs to be in a dialogue with business. I would visit Johnson to tell him this,” Krueger said in response to a question about what advice he had for the British prime minister.