The industry performed well in recent years, achieving strong growth in employment, production, economic output and exports.

Nonetheless, the industry worldwide faces fundamental challenges, including profound shifts in global demand, the urgent need to tackle emissions and the advent of new technologies such as driverless cars.

In order to thrive, the UK motor industry must remain attractive to foreign investment compared with competitor countries. Brexit could radically alter the UK's attractiveness, positively and negatively.

Brexit could bring benefits to the industry from new trade deals that the UK might strike with other parts of the world. The UK manufacturing sector is highly integrated with the rest of Europe, with large volumes of trade not just in final products, but also in component parts (the supply chain).

Technology and modern management practices have transformed the shop floor environment, and product technology embraces lightweight materials, cutting edge design analysis and visualisation tools and the extensive use of integrated electronic systems to extend digital control to most functions of the car. But all is not as rosy as this picture paints, and the UK industry has fragilities and faces significant challenges.