UK automotive industry posted worst in 25 years in September

UK automotive industry posted worst in 25 years in September

October 29, 2020 0 By autotimesnews

The latest SMMT data shows a 5.0% drop in production year on year.

Auto production in the UK fell in September to its lowest level in 25 years, according to the latest figures from the Society of Car Manufacturers and Traders (SMMT). Last month, UK factories produced just 114,732 vehicles, down about 6,000 (5.0%) from September 2019 as auto firms continue to suffer the consequences of uncertainty surrounding Brexit and the coronavirus pandemic.

“These numbers are even darker for the UK auto industry as the coronavirus continues to wreak havoc both at home and in key overseas markets. With manufacturing already under pressure, the additional [no-deal Brexit] blow will be devastating to the sector, its workers and their families, ”said SMMT head Mike Howes.

The largest impact was made by exports, which fell by 9.7% over the month. 87,533 vehicles were exported, accounting for more than three quarters of vehicle production in the UK.

Exports to the United States were hit particularly hard, falling 30.0%, while exports to China and the EU also declined, but by a smaller margin, falling 1.2% and 3.3%, respectively.

Although the number of vehicles produced for the UK market grew by 14.5%, or 3,440 vehicles, this was not enough to affect the overall performance. Also, the production of electric vehicles did not increase by 37%.

The latest data means that UK car production is down 35.9% year-on-year with just 632,824 vehicles built. The latest independent forecast predicts that factories will produce fewer than 885,000 vehicles in 2020.

If this turns out to be true, this will be the first time that the UK has failed to produce at least one million vehicles a year since 2009.