SMMT summit

EU urged to keep British auto supply chains within “Made in Europe” framework

The UK automotive industry is urging the European Union to preserve close manufacturing integration with Britain as Brussels advances new industrial policies designed to strengthen European supply chains and accelerate domestic electric vehicle production.

The Society of Motor Manufacturers and Traders (SMMT) has warned that proposed EU “Made in Europe” measures could unintentionally damage one of the world’s most integrated automotive manufacturing relationships if UK operations are excluded from future incentives and industrial support mechanisms.

The concerns centre on the EU’s proposed Industrial Accelerator Act (IAA), a key part of the bloc’s wider “Made in Europe” strategy aimed at strengthening European manufacturing, accelerating decarbonisation and improving competitiveness against the US and China.

UK and EU automotive manufacturing remains deeply interconnected

The SMMT recently met EU representatives in Brussels to discuss how the proposed legislation could affect cross-border automotive manufacturing and whether UK operations would remain eligible for support linked to the “Made in Europe” framework.

The industry body argues that the UK and EU automotive sectors remain fundamentally interdependent despite Brexit, with the EU exporting over €9bn worth of automotive components to UK manufacturers every year, making Britain the largest single export market globally for EU automotive parts.

These flows include battery systems, electric motors, traditional powertrain components, electronics, body panels and high-value engineered parts that move repeatedly between the UK and EU during the manufacturing cycle.

The wider UK–EU automotive relationship is now estimated to be worth around €80bn annually, while UK factories remain the EU’s largest export market for passenger vehicles, worth almost €40bn per year to European manufacturers.

SMMT chief executive Mike Hawes said, “Brexit put the resilience of our shared industry under enormous stress, but manufacturers have overcome those challenges to grow our trade in electrified vehicles alone to record levels.

The organisation argues that excluding UK operations from future “Made in Europe” incentives could weaken both UK and EU manufacturing competitiveness by disrupting deeply integrated supply chains that have evolved over decades.

Industrial policy becoming increasingly tied to supply chain geography

The proposed Industrial Accelerator Act forms part of a broader shift towards more interventionist industrial policy across major global economies.

The EU’s objective is to accelerate decarbonisation, strengthen domestic manufacturing capability and reduce strategic dependence on overseas supply chains, particularly in areas linked to electric vehicles, batteries and advanced technologies.

The concern for UK manufacturers is whether British suppliers, assembly operations and associated supply chains would qualify for the same incentives and support structures as EU-based competitors.

The SMMT has warned that excluding UK operations from the framework could create new friction across automotive supply chains at precisely the moment manufacturers are trying to accelerate investment into electrification, battery production and low-emission vehicle technology.

Global trade pressure adds further complexity

The debate also comes as the automotive industry adapts to increasingly fragmented global trade conditions.

Following the 2025 UK–US trade agreement, the United States became the UK’s largest export market for cars, with more than 101,000 UK-built vehicles shipped to the US during 2024, worth around £7.6bn. The agreement reduced US tariffs on British-built vehicles from 27.5% to 10% within a quota of 100,000 vehicles, providing important support for premium and luxury manufacturers serving the American market.

At the same time, European automotive manufacturers continue pushing for progress on EU–US trade negotiations amid concerns that tariff disputes and industrial competition could create further instability across international manufacturing networks.

Despite these global shifts, UK automotive leaders continue to stress that Europe remains operationally critical from a manufacturing, sourcing and logistics perspective.

Metro supports automotive manufacturers, suppliers and aftermarket businesses with integrated freight forwarding, customs support and multimodal logistics solutions designed for highly time-sensitive international supply chains. 

From UK–EU customs coordination and inbound production logistics to time-critical component distribution and international freight management, Metro helps automotive customers maintain continuity across complex manufacturing networks operating under changing regulatory and trade conditions.

EMAIL Managing Director, Andrew Smith, today to learn more.

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GB Global backs major Liverpool distribution centre

GB Global, Metro’s holding group, is supporting the development of a new 950,000 sq ft multi-user distribution centre in Speke, Liverpool, reinforcing the group’s ability to handle growing and more complex freight flows.

The 50 acre site will accommodate a single cross docked facility of over 950,000 ft2 incorporating 31,000 ft2 of two storey offices, a 902,000 ft2 warehouse as well as two transport offices of 6,000 ft2 and a gatehouse.

The property will have 21m eaves, 118 dock and 12 level access doors as well as 55m yards to both sides and parking for 238 HGVs and 600 cars. The scheme will target BREEAM Excellent and an EPC A+ rating with the warehouse roof being 100% PV ready.

The redevelopment has received planning approval from Liverpool City Council, attracting national attention, including coverage by the BBC, which reflects the strategic importance of logistics infrastructure to regional growth and national supply-chain capability.

An economic impact assessment published by Brookdale Consulting estimates the £96m scheme would generate £42m in business rates over 10 years and create 500 jobs.

Located close to key motorway links, ports and air cargo gateways, the Speke site is designed to support multi-user, multi-sector distribution, offering scale, flexibility and modern facilities aligned with today’s logistics requirements.

For Metro customers, the new Speke facility will:

  • Expand available UK distribution capacity at a time when space remains constrained
  • Support faster inland connectivity between ports, airports and end markets
  • Enable more flexible inventory positioning and fulfilment strategies

As supply chains become more fragmented and risk-aware, access to high-quality, well-located logistics infrastructure is increasingly central to service reliability.

Looking ahead

The Speke development underlines how investment at group level supports stronger execution across the supply chain as a whole. For Metro customers, it reinforces the value of working with a logistics partner that sits within a broader network committed to long-term infrastructure, people and capability.

As supply chains continue to shift from cost-led optimisation toward resilience and performance, this type of strategic investment provides an important foundation for consistent service delivery in the years ahead.

About GB Global

GB Global is a privately owned international group comprising a diverse portfolio of specialist businesses spanning logistics, supply chain, technology, education, customs, consultancy, sustainability, and property development.

Employing over 3,000 people worldwide, the Group operates across all major global markets, delivering fully integrated, end-to-end solutions that connect every stage of the supply chain – from global freight and warehousing to customs compliance, digital trade management and environmental consultancy.

GB Global operates through a network of independently managed specialist businesses, each with its own leadership, expertise and customer focus, supported by shared strategic oversight, investment, assets and group-wide capabilities. This structure enables agility at company level, while providing customers with the scale, resilience and integrated services of a global organisation.

For more information, visit www.gbglobal.world

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Smart 2026 supply chains are being engineered for pressure

Supply chains are no longer judged on efficiency alone, in 2026 they will be expected to anticipate disruption and adapt at speed to actively support growth. The experience of the past year confirmed that stability is no longer a realistic planning assumption, but performance under pressure is.

Rather than a single crisis, 2025 delivered constant friction. Congestion resurfaced across ports and inland networks, capacity existed but was selectively deployed, and geopolitical and regulatory shifts altered trade flows long before any formal policy changes took effect. 

The result was a decisive shift in mindset: supply chains must be designed to operate in volatility, not merely recover from it.

That shift accelerates in 2026, as technology, resilience and sustainability converge to redefine how supply chains are planned, financed and executed.

Resilience becomes a competitive advantage

If 2025 proved anything, it was that capacity on paper does not guarantee performance in practice. Across ocean, air and road freight, service reliability was dictated by execution: blank sailings, schedule volatility and inland bottlenecks determined what actually moved.

In response, supply chain design is moving beyond simple continuity planning toward resilience, where networks are designed to adapt and improve under stress.

Common characteristics include:

  • Multi-route and multimodal playbooks rather than single-lane optimisation
  • Near-shoring and regionalisation to shorten lead times and reduce exposure
  • Centralised planning paired with regional execution for faster response

These approaches reflect a broader shift away from cost-minimisation toward risk-adjusted performance.

Warehousing becomes a strategic control point

Warehousing emerged as one of the most critical differentiators in 2025 — a trend that intensifies in 2026. With transit times less predictable and congestion harder to avoid, inventory positioning and fulfilment speed have become central to supply-chain resilience.

High-performing shippers increasingly treat warehousing as an active control layer, not passive storage. Key developments include:

  • Greater use of strategically located facilities to buffer disruption
  • Tighter integration between warehousing, transport and customs planning
  • Investment in automation and robotics that flex with demand and seasonality

This is particularly important as omnichannel and e-commerce pressures continue to grow, demanding seamless support for direct-to-consumer, BOPIS and rapid fulfilment models alongside traditional B2B flows.

From reactive networks to intelligent systems

One of the most significant changes heading into 2026 is the role of technology within supply chains. What began as analytical support is now moving into operational control.

AI-enabled tools are increasingly embedded across planning, procurement, inventory management and risk assessment, enabling supply chains to:

  • Anticipate disruption through predictive insights
  • Optimise routing, inventory and capacity decisions in near real time
  • Coordinate responses across multiple functions and geographies

As these systems become more connected, cybersecurity and data governance also rise sharply in importance. Protecting sensitive operational, commercial and customs data is now a core supply-chain requirement, not an IT afterthought.

Data quality, skills and execution define winners

Technology alone is not enough. The past year also highlighted a widening gap between organisations that could convert insight into action and those constrained by fragmented systems and poor data quality.

In 2026, competitive advantage depends on:

  • Clean, trusted and consistent data across logistics, customs and finance
  • Integrated platforms rather than disconnected tools
  • Teams with the skills to manage AI-driven, data-rich operations

Workforce transformation is therefore as important as digital investment. Roles are evolving toward data analytics, systems oversight and exception management, requiring targeted up-skilling to unlock value from new technologies.

Sustainability and compliance move into the operating core

Environmental and regulatory pressures are no longer peripheral considerations. Carbon pricing, emissions transparency, stricter customs enforcement and evolving trade rules are now shaping routing, mode selection and inventory strategy.

For most shippers, progress in 2026 will come less from premium “green” options and more from practical levers:

  • Smarter planning and consolidation
  • Modal optimisation and regionalisation
  • Stronger traceability and data governance

Sustainability and compliance have become operational constraints — inseparable from cost, resilience and service performance.

Designing supply chains that perform under pressure

Taken together, the direction of travel for 2026 is clear. Supply chains are being rebuilt as intelligent, integrated systems — shifting from reactive cost centres to strategic growth engines.

The most resilient networks are those that:

  • Integrate finance, procurement, logistics and technology decisions
  • Combine centralised control with regional agility
  • Invest equally in data, platforms, people and process

The objective is not to eliminate disruption, but to design networks that continue to perform when conditions are uncertain.

At Metro, this same mindset underpins how supply chains are assessed and supported. Stress-testing assumptions, strengthening visibility and applying execution-focused logistics, warehousing and transport strategies. In 2026, the differentiator will not be avoiding disruption, but owning a supply chain designed to operate through it.

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Road freight prices edge higher in August

Stronger August demand lifted UK road transport prices, with both haulage and courier markets firming despite fresh capacity entering the system.

The latest TEG Price Index shows overall prices rising nearly 2% month on month and sitting 2.4% above August 2024 levels. Haulage led the gains, up just over 2.5% on July and 3.6% year on year, while courier prices advanced 1.2% in the month to stand 1.3% higher than a year ago.

Seasonal spending around the late-summer Bank Holiday and warm weather drove a sharp 6.26% jump in transport demand, tilting the balance of the market. Additional supply helped restrain steeper inflation, but not enough to neutralise the upward pressure on rates.

Demand outpaces tight supply

Articulated vehicle demand surged more than 13% in August and was closely matched by an almost 15% increase in supply. Even so, articulated prices climbed over 3% month on month, reflecting continued operational constraints from annual leave and persistent driver shortages.

Recruitment challenges are feeding into wage trends: average HGV driver pay reached £42,121 in August, marking a second consecutive month above the UK national average. Fleet renewal is also lagging; SMMT data points to an 11% year-on-year decline in new HGV registrations, suggesting articulated supply could remain constrained even if demand stays elevated.

A recent cut in the Bank of England’s base rate to 4% supported consumer confidence and spending through the peak summer period, adding a further tailwind to freight demand.

Our network of national and pan-European operators provide solutions for every cargo type, shipment size and deadline, giving us the control and flexibility to shield customers from freight market price swings.

By planning the most efficient domestic and European routes, we keep your road transport moving reliably and competitively.

EMAIL our Managing Director Andy Smith to discover how our road freight solutions can strengthen and protect your supply chain.