Car giant Ford has warned a no deal Brexit would be "catastrophic" for the UK's car industry.
Reports have suggested the company is stepping up preparations to move production out of the UK.
Though a spokesman did not confirm the reports, he warned: "We will take whatever action is necessary to preserve the competitiveness of our European business."
He added: "We have long urged the UK government and Parliament to work together to avoid the country leaving the EU on a no deal, hard Brexit basis on March 29.
"Such a situation would be catastrophic for the UK auto industry and Ford's manufacturing operations in the country.
The car industry has been warning about the impact of a no-deal Brexit, with some already cutting back on jobs and production plans.
Nissan said last week it would no longer build its X-Trail car in Sunderland, Jaguar Land Rover has announced plans to cut 4,500 jobs in the UK and Ford could cut about 1,000 jobs.
Rebecca Long-Bailey, Labour's shadow business secretary, said Ford's warning was a sign "businesses have lost confidence in the government's ability to handle Brexit". She added it was "high time" Theresa May rules out no deal.
It came after Mrs May attempted to salvage her threat of no deal after it was apparently blown out of the water by her own chief negotiator.
Mrs May’s ultimatum appeared to have been torpedoed by unguarded remarks made by top civil servant Olly Robbins in a Brussels hotel bar, in which he said he expected the EU to agree to delay Brexit.
Additional reporting by Press Association.
