UK vehicle production makes sluggish start to 2025
UK vehicle production fell by 17.7% in January to 71,104 cars and 6,908 commercial vehicles, according to the Society of Motor Manufacturers and Traders (SMMT).
However, production of battery electric (BEV), plug-in hybrid (PHEV) and hybrid (HEV) vehicles increased 1.5% to 30,028 units, accounting for 42.2% of all cars made in January.
Meanwhile, 80.4% of production was for export with production for the UK market falling 30.4% to 13,964 units. The EU took more than half (52%) of car exports, followed by the US (18.6%), China (6.2%), Turkey (3.5%) and Japan (3.4%).
Export demand also continued to drive CV production, accounting for 61.7% of UK van, truck, taxi, bus and coach production. In total 4,259 units were shipped overseas, a year-on-year decline of 46.6% with 97.1% heading to the EU.
Volumes for the UK market also fell, down by 31.1% to 2,649 units.
Mike Hawes, SMMT chief executive, said: “UK vehicle producers face a perfect storm of global trade uncertainty, challenging manufacturing conditions and a market transition which is proving tougher than expected.
“The sector is doing all it can to keep production plans on track but needs government to ensure automotive is at the heart of its forthcoming industrial and trade strategies with promised funding invested as soon as possible. Doing so will help ensure our competitiveness and safeguard the billions of pounds of investment, jobs and economic growth which is now at stake.”
