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Home International Customs

UK car production falls by 10% as industry calls for ‘open trade links with Europe’

byCT Report
30/06/2017
in International Customs
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Car manufacturing activity in the UK fell by almost 10% in May, a significant change from the same month last year, according to new data from the Society of Motor Manufacturers and Traders (SMMT). Production dropped by 9.7% to 136,119 vehicles last month. The biggest change was felt in domestic production, which fell by 8.1% in the year to date. The SMMT attributed the slowdown to production lines getting ready to produce new models.

The figures look starkly different to the industry’s performance a year ago. Car production was at a ten-year high in May 2016, with a growth of more than 26%. Exports have been the main driver of demand this year, and have increased 0.8% in the year to date, but are down by 9% in May. May’s figures follow even worse results in April, which saw a production drop of 18.2%. The SMMT put this down to the late Easter bank holiday, which resulted in there being fewer manufacturing days, and said manufacturing remained strong. Despite a few bad months, car production remains relatively high, and saw a record performance in the first quarter of the year.

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