Initially reported by the Financial Times, the publication claimed Lotus would not only shut its factory in Hethel – where the Emira and Evija are produced – but also its headquarters at the facility, putting approximately 1300 jobs at risk.
However, Lotus has since confirmed it is “continuing normal operations” and there are “no plans to close any factory”, which includes those in China owned by its parent Geely.
“We have invested significantly in R&D and operations in the UK, over the past six years. Lotus remains committed to the UK, and its customers, employees, dealers, suppliers, as well as its proud British heritage,” the carmaker said in a statement.

Rumours of the UK plant closure emerged in the wake of the US announcing it would impost a tariff of 25 per cent on imported cars and parts. With the US being a major market for Lotus, this led to a temporary production suspension.
While the tariff has been revised to 10 per cent, this only came into effect today, with cars sold prior to this impacted by the higher rate.
Despite its plans to keep making cars in the UK, Lotus is also “actively exploring strategic options to enhance efficiency and ensure global competitiveness in the evolving market.”

According to the BBC’s political editor Andrew Sinclair, the US is firming as one of the markets where Lotus is considering opening a factory, allowing it to bypass the tariffs entirely.
“It is worth noting that while the Norfolk car maker is owned by the Chinese, America is one of its biggest markets and China and the US appear to be moving close to some sort of trade deal,” Sinclair said.
“President Donald Trump has often said that if companies want to avoid tariffs they should build factories in the USA, that is what Lotus is rumoured to be doing.
“Put all that together and you can see why a lot of people in [the UK] Government and Norfolk are worried at the moment.”

In 2024, Lotus delivered 12,134 vehicles globally, a huge 74 per cent increase on its 6970 deliveries the year prior. Sports cars such as the UK-built Emira and Evija made up 5272 of the deliveries, a 102 per cent increase on 2023.
North America received 2578 Lotus vehicles, making it the third-largest region behind China (3018, exclusively the Eletre and Emeya EVs) and Europe (4743 deliveries).
Australia is a relatively small market for Lotus, with the brand selling just 155 cars here last year, a decrease on the 183 examples sold the year prior. 138 of those vehicles were the Emira sports car, compared to 12 Eletres and five Emeyas.
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