Plummeting car manufacturing in UK in April
Brexit shutdowns have been blamed for a big monthly drop in UK car production.
According to figures released by the SMMT today, British car manufacturing output plummeted by almost half in April. With just 70,971 cars rolling off production lines in the month, which is down 44.5% year-on-year, as factory shutdowns, rescheduled to mitigate against the expected uncertainty of a 29 March Brexit, took effect in many plants across the UK.
Production for domestic and overseas markets also fell by -43.7% and -44.7% respectively, the result of most volume manufacturers bringing forward, these extended production stoppages, that are usually scheduled for the summer holiday period.
This disappointing monthly performance is the 11th straight month of decline, made worse by underlying downward trend, largely the result of slowing demand in key international markets, including the EU, China and the US, as well as the UK. In fact, in the year to date, 127,240 fewer cars have been built compared with the same production period last year – a decline of more than a fifth (-22.4%) – with similarly large percentage falls in production for the UK and export.
Mike Hawes, SMMT Chief Executive, said, “Today’s figures are evidence of the vast cost and upheaval Brexit uncertainty has already wrought on UK automotive manufacturing businesses and workers. Prolonged instability has done untold damage, with the fear of ‘no deal’ holding back progress, causing investment to stall, jobs to be lost and undermining our global reputation. Therefore ‘no deal’ must be taken off the table immediately and permanently, so industry can get back to the business of delivering for the economy and keeping the UK at the forefront of the global technology race.”