Dyson walks away from electric cars

Malmesbury-based Dyson is walking away from its plans to become a manufacturer of electric cars.

Work started on the £2bn project at the firm’s Malmesbury headquarters and Hullavington facility in 2016, with half the budget dedicated to designing an electric car for the mass market, and the other half to develop battery technology.

In October 2018 Dyson revealed plans to build the car at a new plant in Singapore. It was expected to be completed next year, with the first vehicles due to roll off the production line in 2021.

But yesterday, entrepreneur James Dyson announced that the car – which was initially going to be made in the UK, until Sir James shifted his focus to Singapore – would not be rolling off the production lines in 2021 as planned.

The division employs just over 500 workers, most of them based in the UK. The company said it hopes to redeploy most staff to other projects within the company.

In a letter to staff, he wrote: “”The Dyson automotive team has developed a fantastic car; they have been ingenious in their approach while remaining faithful to our philosophies. However, though we have tried very hard throughout the development process, we simply can no longer see a way to make it commercially viable.

“We have been through a serious process to find a buyer for the project which has, unfortunately, been unsuccessful so far. I wanted you to hear directly from me that the Dyson board has therefore taken the very difficult decision to propose the closure of our automotive project.”

“This is not a product failure, or a failure of the team, for whom this news will be hard to hear and digest. Their achievements have been immense – given the enormity and complexity of the project.

“We are working to quickly find alternative roles within Dyson for as many of the team as possible and we have sufficient vacancies to absorb most of the people into our Home business.

“For those who cannot, or do not wish to, find alternative roles, we will support them fairly and with the respect deserved. This is a challenging time for our colleagues and I appreciate your understanding and sensitivity as we consult with those who are affected.

“Dyson will continue its £2.5bn investment program into new technology and grow The Dyson Institute of Engineering and Technology. We will continue to expand at Malmesbury, Hullavington, Singapore and other global locations.

“We will also concentrate on the formidable task of manufacturing solid state batteries and other fundamental technologies which we have identified: sensing technologies, vision systems, robotics, machine learning, and AI offer us significant opportunities which we must grab with both hands.

“Our battery will benefit Dyson in a profound way and take us in exciting new directions. In summary, our investment appetite is undiminished and we will continue to deepen our roots in both the UK and Singapore.”