The division employs 500 United Kingdom workers.
Dyson announced today that it has scrapped plans for its electric vehicle and the end to its automotive project overall.
He added: 'My own amateur view of the electric-car market is that it has been underestimated.
Dyson announced intentions to get into the electric auto business in 2017.
In October 2018 Dyson revealed plans to build the auto at a new plant in Singapore.
It was building a two-storey manufacturing facility in the city state, scheduled for completion in 2020, with the first cars expected to roll off production lines a year later. "Now the time is right to bring all our knowledge and experience together into one big project - an electric auto".
The email is all very polite but it doesn't offer many details about the decision to abandon the electric auto effort.
Major manufacturers like VW can afford to plough tens of billions into the EV industry - on the basis that economies of scale will ultimately make the technology cheaper and generate returns. It's a project that Dyson said will have a profound impact on the company and take them in new directions.
Dyson had made its patents for its electric auto public in May.
Rendering of the proposed Dyson manufacturing facility in Singapore.
The failure is a serious blow for the 72-year-old entrepreneur, who moved his business headquarters to Singapore to be closer to a planned auto factory and even relocated himself, buying the Asian city's most expensive flat for a reported £43m.
The first cars had already been developed and were being tested.
In September 2017, Mr Dyson announced that he would make an electric auto.
Sir James said the achievements of the engineering team had been "immense", given the enormity and complexity of the project.
Mr Tan said the Singapore Government understands that Dyson has chosen to focus on growing its core home business, including new product categories, and on the development of its battery technology.
"However, though we have tried very hard throughout the development process, we simply can no longer see a way to make it commercially viable", he said on Thursday.
Here's the full email James Dyson sent to employees on Thursday:The Dyson Automotive team has developed a fantastic auto; they have been ingenious in their approach while remaining faithful to our philosophies.
Dyson said that an attempt was being made to find alternative jobs at Dyson for as numerous electric vehicle project's hundreds of employees as possible.