Automotive Blog

IHS Markit Analysis and Commentary Assessing Brexit’s impact on the UK’s supply chain

The UK’s decision to exit the European Union following the June 23rd 2016 referendum could have some far reaching implications on the long-term viability of UK manufacturing, given the significant supplier-customer interdependency between the UK and the other 27 countries of the European Union.

The prospect of the UK pursuing a “hard Brexit” approach, meaning leaving the single market and reverting to WTO tariff schemes, raises questions on the competitiveness of UK auto manufacturing in the long run given the inter-twined nature of both the outbound and inbound logistics supporting the UK automotive industry. With the UK triggering Article 50 today, IHS Markit Supplier Solutions team has completed an assessment of the impact on OEM sourcing strategies and possible trade policies that the UK government would need to implement in order to retain the competitiveness of UK manufacturing.

View infographic on Assessing Brexit's impact on the UK's supply chain from IHS Markit. 

About this Article
For a more complete analysis, IHS Markit solutions experts review the reliance on imports, support for UK exports, supply chain weaknesses, developing a local supply base and a scenarios impact. This full report is available to subscribers of our “SupplierInsight News and Analysis” solution. For more information on this article, please click here

About The Author

Director, Supplier Solutions

Matteo Fini is IHS Markit lead for Global Component Forecasts. He specializes in OEM procurement strategy and supply chain analysis in a variety of sectors since 2004. Between 2012 and 2015 he has been lead consultant for the Automotive Consulting team with IHS Markit, advising a variety of stakeholders in the automotive sector. He has previously headed procurement strategy for the IHS Markit research centre from 2009, authoring numerous studies on OEM procurement strategy and automotive technology.

Before joining IHS Markit, he has developed in-depth insight into automotive procurement business processes following a stint at GM-Fiat Worldwide Purchasing, focused on on-line auctions and APQP-based business processes. Matteo holds a Master of Science in Automotive Engineering with a specialization in vehicle systems development from the Polytechnic University of Turin, Italy.