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UK auto output grows, but below pre-COVID levels

The number of vehicles produced for the British market increased by 12.5%, while the number produced for export increased by 6.3%.

The Society of Motor Manufacturers and Traders reports that automobile production in the United Kingdom has resumed rising, but it is still significantly below pre-recession levels.

In October, 69,524 automobiles were manufactured, a 7.4% increase compared to the same month last year.

After four consecutive months of growth, September saw a decline, indicating how supply chain issues – particularly worldwide chip shortages – have impacted UK automakers, according to the SMMT.

Uk auto output grows, but below pre-covid levels
Uk auto output grows, but below pre-covid levels

Each vehicle normally contains between 1,500 and 3,000 chips. Chips are an integral component of modern automobile manufacturing.

More than eight out of ten automobiles were manufactured for export, with more than half destined for the European Union, as well as the United States, Japan, South Korea, Australia, and Turkey.

Mike Hawes, chief executive of SMMT, stated: “The UK auto industry’s return to growth in October is good, although output is still well below pre-COVID levels due to volatile component supply.

Uk car production returns to growth
Uk auto output grows, but below pre-covid levels

“Given the jobs, exports, and economic impact that the car industry provides, regaining its footing by 2023 is a top priority.

UK automakers are doing all they can to ramp up production of the latest electrified vehicles and help deliver net zero, but more favorable conditions for investment are urgently required as part of a supportive framework for automotive manufacturing, particularly in terms of affordable and sustainable energy and talent availability.

The combined volume of battery electric (BEV), plug-in hybrid (PHEV), and hybrid (HEV) vehicles produced in the United Kingdom increased by 20.3% to 24,115 units.

UK automakers have built a record 61,339 BEVs so far this year, a 16.2% increase over the same period in 2021.

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