Japanese car maker Toyota could build its future Auris model at its Burnaston plant in Derbyshire if the government secures a transitional Brexit deal.
Sources have told Reuters that the firm, which employs three and a half thousand people in the UK, does intend to make the model here.
Toyota builds the current generation of Auris hatchbacks at its Burnaston plant, with the run due to end in around 2021. But firms make model decisions up to three years in advance partly to organise supply chains.
Toyota says a competitive environment must be maintained in the future, and would not comment on specific plans.
A decision is expected to be made by the end of the year.