The BBC has seen a leaked document in which the U.

K s chief negotiator, Lord Frost, concedes that one of the industry's key demands to treat foreign car parts used in the UK as British will not be met.

A czar, economics editor Faisal Islam, explains.

It means that some carmakers could face export tariffs even if there is a no overall trade deal with the U.

It is a tough time right now in the car industry.

Last Friday, the Ford engine plant at Bridgend close its doors industries the whole, facing a perfect storm of pandemic at the end of the engine and then the UK new trade barriers with its main market.

The industry wants to deal but has been told even if there is one, some of its key priorities can't be negotiated.

That's in a Number 10 letter obtained by the BBC in its chief UK negotiated, David Frost acknowledges the industry's need to count non European parts, particularly from Japan and Turkey.

Aziz.

British will not be agreed in any circumstances by the you on.

Obviously, we can't insist on it.

This means effectively the deal might not apply toe some factories exports.

It's pretty critical for the cars that have produced here to be exported, known only to Europe but to other countries around the world.

If it's not going to be done, what's the consequence for the car industry?

Well, I think you know, one of the big ones.

There would be Japan because the Japanese manufacturers in the UK do bring components, engine components and so on and so forth in from Japan, so that could have quite difficult circumstances.

This is especially the case for electric vehicles with expensive foreign batteries.

Even if there is a deal on post Brexit trade with the European Union in the next few weeks, the compromises made will create winners and losers in different sectors of the British economy at a tough time.

And so this leaks letter gives a unique insight into that black box of what the UK government is asking for on what it is willing to insist on on the car industry thinks that it might be being traded off against other industries.

The automotive sector is fundamental to UK trade, the biggest exporter of goods, so we need to make sure the automotive is that the top of the level of priorities not traded off against other sectors.

The government argues it has asked you for these concessions and that most are supported by the EU's own car industry.

But the U says such concessions would allow the U.

K to become an offshore manufacturing help with free access to its single market.

Other industries told MPs today that both sides were missing chances for negotiation winds.

It's still not too late to agree the bare minimum and I still I'm glass half full and I hope that that will be agreed by both sides 60 60.

But today the government was celebrating a new deal struck with Norway on the issue of fishing.

Other larger land based industries say they now need to be the center of negotiations.