Japanese Manufacturer Closes U.K. Factory, Citing Brexit Impact
Japanese Manufacturer Closes U.K. Factory, Citing Brexit Impact
(Bloomberg) -- A Japanese manufacturer of soldering products for the electronics and automotive industries has closed its U.K. factory and relocated production to the Czech Republic, citing disruption from Brexit.
Senju Metal Industry Co., which employed 22 people at a plant in Wycombe, just outside London, shuttered the operation after pressure from European customers, according to company accounts published Wednesday.
“The company anticipated that reduced demand for products manufactured in the U.K. would result in operating losses,” Senju said in the filing. “The site closed on June 30.”
The U.K’s manufacturing industry has repeatedly warned of the negative impact of Britain leaving the European Union, given the threat to tariff-free trade and the frictionless flow of goods with its biggest export market. The sector’s slump unexpectedly deepened last month, as mounting Brexit uncertainty and weaker global growth weighed on orders.
Senju’s Wycombe factory had revenues of 23 million euros ($25 million) last year and was based in the constituency of Conservative lawmaker Steve Baker, a high-profile Brexit supporter. Wycombe voted by 52% to remain in the EU in 2016.
To contact the reporter on this story: Joe Mayes in London at jmayes9@bloomberg.net
To contact the editors responsible for this story: Rebecca Penty at rpenty@bloomberg.net, Frank Connelly, Jennifer Ryan
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