In a joint statement, senior executives from 23 auto business associations have expressed fears over Boris Johnson’s pledge to quit the European Union on October 31 – with or without a deal. They warn that carmakers will be significantly impacted on both sides of the Channel if the UK leaves without an agreement, despite EU bureaucrats claiming the bloc is prepared for a no-deal Brexit. The introduction of additional border checks and red tape could cost companies £50,000 for every minute of delayed production, according to the Society of Motor Manufacturers and Traders.

“The UK’s departure from the EU without a deal would trigger a seismic shift in trading conditions, with billions of euros of tariffs threatening to impact consumer choice and affordability on both sides of the Channel,” the joint statement said.

“The end of barrier-free trade could bring harmful disruption to the industry’s just-in-time operating model, with the cost of just one minute of production stoppage in the UK alone amounting to £50,000.”

Christian Peugeot, head of the French automotive industry association CCFA, said: “Brexit is not just a British problem, we are all concerned in the European automotive industry, and even further.”

Amid fears, the industry representatives were keen to stress that the motor industry’s 13.8 million employees make up one in 16 of the EU’s workforce.

Carmakers fear that their reliance on just-in-time supply chains between Britain and the Continent would see no deal result in a “severe” business blow.

Bernhard Mattes, head of Germany’s VDA automotive lobby, said: “We regret Brexit. The United Kingdom is a fully integrated player in the value chain of the German Automotive Industry. More than 100 production facilities as well as research and development located in the UK prove our commitment to the UK-market as a number one market in the EU.

“In the view of the German automotive industry, therefore, everything has to be done to maintain the free movement of goods, of services, the freedom of capital and the freedom of movement for workers between the UK and the EU. At the same time, we acknowledge that the internal market and the cohesion of EU27 are a priority and a pre-condition.

“The EU and UK automotive industry need frictionless trade and would be harmed significantly by additional duties and administrative burden on automotive parts and vehicles.

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“Consequently, the UK and the EU should undertake all necessary steps to avoid a no-deal Brexit.”

Luc Chatel, President of French industry lobby PFA, said: “Brexit will have a huge impact on the whole automotive sector in France, on manufacturers as well as on suppliers.

“The impact will be direct in terms of tariffs, customs procedures, logistics, industrial localisation decisions, etc. And there will also be an indirect impact, as for all economic sectors, because of the foreseeable downturn in the European growth.”

Mattias Bergman, chief executive of Sweden’s BIL, said: “Sweden and our automotive industry is a strong believer in free trade where a barrier-free market is crucial for the automotive industry to continue to contribute to society and economic growth within Europe.

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“Brexit by itself is negative for the industry and a no deal will add substantial risk and will have large negative impact on not only the industry, but the entirety of Europe.”

The European industry groups claimed new tariffs on cars and vans could cost the up to £5 billion in the event of a no-deal Brexit.

Under World trade Organisation rules, cars would be slapped with a 10 percent tariffs, while engines and other parts would face between two and five percent levies.

The group warned that manufacturers would unlikely be able to absorb the cost so would pass them onto consumers.

Britain’s looming EU departure has weighed heavily on Germany’s export-dependent economy.

Recent analysis shows Europe’s economic powerhouse is on the brink of a recession.

In the three months to June, exports to Britain dropped 21 percent quarter on quarter.

This represents the biggest fall since the 2008 financial crisis, and contributes to the 0.1 percent quarter-on-quarter contraction in Germany’s GDP.

Germany sold £72bn of goods to the UK last year.

The UK is Germany’s fifth-largest export market after the United States, France, China and the Netherlands.

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