Vehicle output in February comprised 65,885 cars, down 10.7% and 2,176 commercial vehicles (CV), down 74%, according to figures published today by the Society of Motor Manufacturers and Traders (SMMT).
Overall, UK vehicle production fell 17.2% in February, with 68,061 units leaving factories.
The SMMT said that export demand in markets outside Europe remained weak, model changeovers impacted output and CV volumes continued to be affected by a major plant restructuring.
Production of battery electric (BEV), plug-in hybrid (PHEV) and hybrid (HEV) cars, meanwhile, fell 2.8% to 26,629 units, although they accounted for an improved 40.4% of car output.
Exports of cars and CVs were down 11.5% and 65.1%, to 53,140 and 1,306 units respectively, though production for overseas buyers still accounted for the majority (80%) of total vehicle output.
The EU remained the largest global market for UK plants, taking 63.6% of car exports and 88.9% of CV shipments, and while car exports to the EU rose 5.3%, demand in the US, China and Japan fell, by 34.3%, 66.4% and 6.8% respectively.
Car output for British buyers declined 7.5% to 12,745 units, while CV production for the UK also fell, by 81.2%, down to 870 units.
The news comes amid global turmoil in the Middle East, and with the UK sector facing additional pressure from ‘Made in the EU’ proposals set out in the European Commission’s Industrial Accelerator Act.
As drafted, the SMMT said the act would discriminate against UK-made vehicles and components – damaging a trading relationship worth almost £70bn annually and potentially breaching the EU-UK Trade Cooperation Agreement.
Mike Hawes, chief executive at the SMMT, said: “Another decline for UK vehicle production and exports is extremely worrying, given these figures pre-date the crisis in the Middle East.
“While the sector has made efforts to build resilience into its logistics and supply chains post Covid, the conflict adds further strain.
“Now more than ever we must focus on our industrial competitiveness by driving down energy costs, backing our suppliers, supporting our domestic market and securing free and fair trade with Europe.”
