Export decline takes gloss off UK car industry’s best year since 2008
UK car manufacturing has seen its best year-to-date performance since 2008, with production in the first nine months rising to 1,132,017 vehicles, an increase of 0.6%.
However, in an indication that growth may be about to slow output in September fell almost 3% on the same month last year, while the number of vehicles exported declined more than 8%.
The Society of Motor Manufacturers and Traders said another reason for the dip was due to OEMs carrying out planned re-tooling ahead of model changes.
On a more positive note, the UK market continues to show no sign of running out of steam, with output up almost 18% last month compared to a year earlier.
Mike Hawes, SMMT chief executive, said: “It is testament to the strength of the automotive industry that it continues to break records – yielding the best year-to-date performance for six years and comfortably surpassing one million units.
“The continued investment by the sector into new models means the September figures took a slight dip as some plants underwent re-tooling but it is these same new models which will help increase production volumes in the future.”
Sadly, the UK market for commercial vehicles is not so buoyant.
Latest figures from the SMMT show output was down 34% in the UK market in September compared with 2013, while the number of vehicles produced for export fell by almost 28%. For the first nine months of the year output is down by more than a quarter.
“UK commercial vehicle production remained negative in September, while key manufacturing facilities adjusted to new models,” said Hawes.
“We expect monthly output to level off in the coming months, with the restructuring of operations last year now only affecting the year-to-date figures.”
UK engine production was down 13.6% in September as factories underwent re-tooling for new products.
Output has fallen 5% over the year-to-date, but the percentage of engines exported has increased – up 1.4%.
Opting to take the long-term view, the SMMT said there had been significant investment into low-emissions engine manufacturing in the UK which would help ensure a positive outlook for the sector.
