UK business car (CV) manufacturing fell -2.9% within the first six months of the 12 months as 56,956 vans, vans, taxis, buses and coaches left manufacturing facility gates, in accordance with the newest figures revealed at the moment by the Society of Motor Producers and Merchants (SMMT)
UK business car (CV) manufacturing fell -2.9% within the first six months of the 12 months as 56,956 vans, vans, taxis, buses and coaches left manufacturing facility gates, in accordance with the newest figures revealed at the moment by the Society of Motor Producers and Merchants (SMMT). Regardless of the year-on-year decline, wrapped up by a -2.0% drop in output in June as non permanent provide chain constraints impacted manufacturing, total ranges stay excessive given final 12 months’s bumper first half and fulfilment of post-Covid supply backlogs.1
12 months so far output stays nearly a 3rd (31.3%) larger than the pre-pandemic 5 12 months common, because of funding in new crops, fashions and applied sciences, and strong export demand.2 Abroad shipments of UK-built CVs – lots of them zero emission – have been 3.6% up within the first half at 39,168 items, equal to greater than two thirds of all output, with the EU taking the lion’s share (97.2%), adopted by Australia (1.2%) and the US (0.5%). This development was, nonetheless, unable to offset a -14.8% decline within the home market.
Mike Hawes, SMMT Chief Government, stated,
Whereas a decline in output is all the time disappointing, some normalisation following the CV sector’s fast post-pandemic restoration was anticipated. The sector stays in good well being with sturdy world demand for top of the range British-built CVs and crops ramping up EV manufacturing to fulfill present and future wants. Nevertheless, the sector is not going to relaxation on its laurels and can work with the brand new authorities to ship the beneficial industrial, commerce and market situations which might be important if producers are to drive financial development and decarbonisation in each a part of the nation.
The information comes as the newest unbiased trade outlook forecasts mild CV manufacturing to develop to some 110,000 items this 12 months. Volumes are then anticipated to go above 130,000 in 2030, offering financial and buying and selling situations permit.3
The UK already has a status as a serious participant in automotive manufacturing with one of the various product bases on the planet – together with all the pieces from mass-market automobiles to vans, vans, buses, and specialist and luxurious autos, exported globally. Consequently, automotive is ideally positioned to ship financial development within the quick and long run. SMMT welcomes the commitments already made by the brand new authorities and appears ahead to working with policymakers to create a devoted industrial technique that fosters competitiveness by funding in expertise, clear inexpensive power, free and truthful commerce, vibrant markets and a good EV transition for all.
1 CV Manufacturing, January-June 2023: 58,679 items
2 43,391 items made between Jan-June 2015-19
3 Impartial manufacturing outlook protecting LCVs solely – July 2024
SOURCE: SMMT
