- The trade body says a drop is expected due to the typically slow summer months
Car manufacturing fell for a sixth consecutive month as UK factories continue to shift towards electric vehicle production.
The latest industry figures show new vehicle production fell 8.4 percent in August.
The downward trend is due to factories reducing production of key models and retooling for new, mainly electric, production.
However, the Society of Motor Manufacturers and Traders has said the decline is also because August is “traditionally a low production month due to summer lockdowns”.
Chain reaction: Car manufacturing fell for a sixth consecutive month as UK factories continue to shift to electric vehicle production, with the usual “summer slowdown” also partly to blame
UK car production has fallen 8.5 per cent to 522,823 units so far this year.
Vehicle production fell by 3,781 units during August as 41,271 new cars rolled off production lines, a change of 8.4 percent from August 2023.
August production for the domestic market fell by -19.8 percent, while exports decreased by a more modest -5.9 percent.
UK car production has fallen 8.5 per cent to 522,823 units so far this year as the industry continues its transition to electric car production.
Output for the UK market is up 12.3 percent so far this year despite a domestic decline in August, while exports fell 13.6 percent.
Nissan has confirmed a £2 billion investment in Britain that will allow it to produce two new electric vehicles
The new electric replacements for the Juke (right) and Qashqai (centre) will be built in Sunderland
The automotive sector recently received £24 billion in investment pledges last year, which the SMMT said put the UK automotive industry “back in the game”.
Jaguar Land Rover, Tata, Nissan and BMW have all made announcements, with Nissan alone investing £2bn in producing two electric vehicles at its Sunderland plant.
Electrified production (battery electric, plug-in hybrid and hybrid) for the month fell by -25.9 percent, leading to a drop in production share to 29.6 percent.
But this is expected to reverse in the long term as new models appear on the market.
There is an almost constant flow, with models ranging from the most affordable new electric vehicle, the Dacia Spring, to the new seven-seater Peugeot 5008 or the luxurious Porsche Macan EV.
The automotive sector recently received £24 billion in investment pledges last year
Mike Hawes, SMMT chief executive, said: “With traditional summer shutdowns and factories preparing to switch to new models, August was always going to be a quieter month for production. However, the sector remains optimistic about a return to growth, with record levels of investment announced last year.”
Hawes called on the Chancellor to “show she supports the automotive sector” in the upcoming Autumn Budget and to present “a plan outlining her proposals for cheaper, greener energy, investment in skills and the cultivation of healthy markets here and abroad”.
He added that the UK needs this investment to “maintain its competitiveness” and “allow industry to drive economic growth in all parts of the country.”