UK car production falls sharply in April

UK car production falls sharply in April

Last month, the UK witnessed a significant decline in the number of vehicles manufactured, attributed to tariffs and the timing of Easter affecting production. With only 59,203 vehicles produced, this marked the lowest April output in over 70 years, excluding 2020 when production came to a halt during the Covid lockdown. The Society for Motor Manufacturers and Traders (SMMT) noted that the industry’s shift towards electric vehicles (EVs) also contributed to the temporary reduction in output.

Despite the challenges faced in April, new trade agreements with the US, EU, and India are anticipated to facilitate a boost in production in the upcoming months, according to the industry group. The April production figure was 16% lower compared to the same period last year and 25% lower than March, partly due to manufacturers increasing shipments to the US prior to the implementation of President Trump’s tariffs. The SMMT highlighted the impact of Easter falling in April this year, leading to fewer working days and consequently affecting production.

Export of car production experienced a 10.1% decline, primarily driven by reduced demand from major export markets like the US and EU. The total number of vehicles manufactured in the UK for the first four months of the year was reported to be the lowest since 2009. Prof Peter Wells, Director of the Centre for Automotive Industry Research at Cardiff University, emphasized the global nature of the dwindling production trend, citing concerns in Germany, Italy, France, and Japan. He pointed out that while there are broader industry challenges, some pressures are particularly pronounced in the UK, such as fewer trade barriers against Chinese imports in comparison to the EU and US. The shift in the UK government’s EV policy has also added to the volatility, making planning more challenging for manufacturers

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