UK vehicle production declined slightly in April as weaker commercial vehicle output and a sharp fall in exports to China continued to weigh on the automotive sector, according to new figures from the Society of Motor Manufacturers and Traders.
Total UK vehicle production fell 1.2% year-on-year to 58,513 units during the month. Passenger car output remained broadly stable for a second consecutive month, while commercial vehicle production dropped significantly.
Mike Hawes, chief executive of the SMMT, said the figures suggested production levels were beginning to stabilise, although still below the levels needed to support long-term sector growth.
Car production edged down 0.7% to 56,135 units, while commercial vehicle output fell 10.9% to 2,378 units. Despite the decline, the commercial vehicle contraction was the smallest seen in 13 months as the effects of a major van plant closure began to ease.
Exports presented a mixed picture. Shipments to the European Union rose 6.9% year-on-year to 23,103 vehicles, while exports to the United States increased 6.8%. However, exports to China slumped 44.4%, highlighting continued weakness in one of the world’s largest automotive markets.
The industry continues to face pressure from high energy costs, rising raw material prices and uncertainty surrounding future UK-EU trade arrangements. Hawes also warned that the EU’s proposed “Made in Europe” policy for electric vehicles — which would encourage local sourcing of components — could threaten UK manufacturers’ access to important fleet markets within Europe.
He said the upcoming UK-EU summit would be crucial in securing measures to protect competitiveness and support future growth across the automotive sector.
