A new car plant will open in Coventry on Wednesday, signalling China’s confidence in the UK post-Brexit.
Creating over 1,000 and boosting the automotive industry, the new factory owned by the London Taxi Company will focus on making electric taxis.
Greg Clark, the business secretary said: “Our iconic black cabs are famous across the world. The London Taxi Company’s impressive new factory and R&D facility showcases the innovation that makes the UK a world leader in the development of new automotive technologies.
“Through our ambitious industrial strategy, we are committed to building on our strengths and taking advantage of the opportunities the new low-carbon economy provides.”
The factory is being funded with £300m of investment from Chinese company Zhejiang Geely Holding Group, the owner of the London Taxi Company, as well as a £16.1 million grant from the UK government.
The investment comes at a critical time when there is so much uncertainty surrounding Brexit. Other car companies have also shown continued interest in the UK, despite the result of the referendum. Toyota (TYO:7201) announced last week that it was investing £240m into upgrading its car plant in Derbyshire. Nissan (TYO:7201) have also committed to expanding its Sunderland factory.
Unite regional officer Peter Coulson said: “This a fantastic story of a company that was on its knees in 2013. Now, thanks to the commitment of Geely’s top management and accompanying large-scale investment, the iconic London taxi is set for its continued renaissance.
“Tribute should also be paid to the dedicated workforce who have worked hard and diligently to contribute to the current success.
“This is fantastic news in terms of highly skilled jobs for our members and the future creation of employment opportunities. It will be a wonderful boost to the West Midlands economy.”
The London Taxi Company is aiming to produce 5,000 vehicles a year by 2019.