British performance brand Lotus announces plans to cut nearly half its U.K. staff.
The automaker, which markets both internal-combustion-engine and electric vehicles, expects to lay off up to 550 employees to allow it “to operate with a flexible and agile business model,” the company says in an emailed statement to WardsAuto.
Lotus, majority-owned by China’s Geely organization, puts the blame firmly on the challenging trading conditions in the U.S., a result of President Donald Trump’s import tariffs on automobiles.
The niche sports car company, founded in 1948 by the innovative racer/engineer Colin Chapman, depends on the U.S. for about a third of its annual sales, with 1,300 vehicles delivered in the first quarter of 2025 up to the imposition of tariffs.
Lotus’ statement goes on to say the trimming of staff will work in tandem with a strategy to bring together different sections of the business as it begins “exploring greater resource sharing and collaboration across its operations.”
This includes a recent decision by Lotus Technology, the company’s overarching organization based in Germany, to acquire 100% equity interest in Lotus U.K. this year “consolidating all Lotus businesses and operations together.”
The company statement stresses its commitment to car production at its historic Hethel plant in Norfolk, having previously denied reports that the factory could be shut and production moved to the U.S.
“The brand remains fully committed to the U.K., and Norfolk will remain the home of the Lotus sports car, motorsports and engineering consulting operations,” the statement adds.
