The prime minister says the government is talking to the EU over rule changes that could hit UK car plants.
The UK is lobbying the EU over a Brexit trade deal deadline that carmakers have warned pose a threat to UK industry.
Under current rules, 40% of the value of an electric vehicle should originate in the UK or EU to qualify for trade without tariffs. Stellantis said it was "now unable to meet these rules of origin" due to the recent surge in raw material and energy costs. "And as a result of that we are engaged in a dialogue with the EU about how we might address those concerns when it comes to auto manufacturing more generally," he added.Mike Hawes, chief executive of UK trade body, the Society of Motor Manufacturers and Traders , said he hoped "some degree of common sense would prevail".
Industry experts have expressed concern that the UK is running out of time to develop its own battery manufacturing industry, given heavy investment being made in the US, China and the EU. Regarding these concerns, Mr Sunak said: "Nissan have invested a billion pounds in battery manufacturing capability in the North East.
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