UK car production rose 9.9% to 66,527 units in April, the third straight month of growth as global supply chain shortfalls continued to diminish.
Exports boosted volumes, up 14.7% to 54,820 units, with more than eight in 10 cars (82.4%) shipped overseas.
However, production for the home market fell -8.3% to 11,707 units, according to figures from the Society of Motor Manufacturers & Traders.
This is the third month in a row that exports have seen a double-digit increase. The European Union remains by far the most important global market, taking in 58.4% of all exports, equivalent to 32,002 units with volume up 12.2%, followed by the US, China and Australia. Deliveries to these destinations changed by 36.2%, -3.6% and 226.8% respectively, with buyers opting for the latest UK-made models, including many with hybrid or zero-emissions powertrain technology.
UK factories continue to produce an increasing number of hybrid electric vehicles (HEV), plug-in hybrid (PHEV) and battery electric vehicles (BEV), with combined volume up 56.2% in April and representing more than a third of all production (37.7%). So far this year, the manufacturer has built 113,315 of these important vehicles, a testament to the UK’s growing ability to produce the next generation of eco-friendly passenger cars.
The news comes as the UK and EU automotive sectors face a looming chasm with the rules of origin agreed in the UK-EU Trade and Cooperation Agreement, which governs local content for electric vehicles and batteries, which will tighten from January 1, 2024. The rules pose significant challenges. significant for manufacturers on both sides of the Channel and raises the prospect of punitive tariffs being applied to electric-only vehicles.
Mike Hawes, chief executive of SMMT, said, “British car production is picking up steam again, great news for the sector and the thousands of jobs and livelihoods it supports.
UK commercial vehicle (CV) manufacturing output increased by 33.3% in April, the highest in 13 years. SMMT said it was a sign that recent supply chain shortfalls were easing.
