Europe's biggest auto companies came to Brussels on Wednesday to issue a blunt warning against a no-deal Brexit, just as EU leaders were to meet to break an impasse in divorce talks, reports AFP Brussels.

"Ahead of this evening's Brexit summit, Europe's auto manufacturers and suppliers have come together to issue a stark warning on the potentially far-reaching impacts of a no-deal scenario on their sector," European auto manufacturers' association ACEA said.

This "would threaten their very business model," the association added. ACEA represents the world's biggest auto groups including Volkswagen, Toyota, BMW, Renault and PSA, which all have operations in Europe.

The car-making business model is built on so-called "just in time" production practices where millions of car parts and components arrive to factories across EU borders just as they are needed.