UK car production falls almost 10% in May

UK car production fell 9.8% in May to 116,655 units, with the dip being blamed on days lost to spring shutdown at some plants.

Despite the fall, the Society of Motor Manufacturers and Traders and the year-to-date output was still positive with 654,895 cars produced – growth of 3.5%.
Encouragingly, demand for new cars in EU continues to grow, with May marking nine consecutive monthly rises.

Mike Hawes, SMMT Chief Executive, said: “UK car manufacturing fell 9.8% in May, as some plants instigated spring shutdowns during the month.

“The prospects for the coming months and years, however, are still bright; new UK-built models will benefit from growing demand across Europe, while significant investments in UK manufacturing operations are moving closer to production readiness.”

Export levels for the vehicles produced was almost flat – down just 0.2% at 81.2%.

Commercial vehicle output fell 32.2% in May, as restructuring impacts continued.
   
The SMMT said manufacturing was down 22.8% for the year-to-date, with output for both home and export down.

Production is expected to stabilise in late summer.

“UK commercial vehicle output continued to feel the effects of last year’s production restructuring with volumes down 32% in May,” added Hawes.

“There is light at the end of the tunnel, however, as we look forward to the end of this impact in late summer. The next few months will also see new models rolling off UK assembly lines, which will help boost production numbers.”

There was better news for engine production although output decreased 4.2% in May, with a 1.1% fall over 2014-to-date.

The SMMT said the picture looked healthier because exports were continuing to grow and accounted for over 65% of year-to-date output.

It said with new production facilities gearing up for launch and a growing European market, the future was positive for the UK’s engine manufacturing industry.
 

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