September Production Boosts Encourage U.K. Auto Industry
Executive Summary
Increased production, accompanied by job growth, more investments and new products, is expected to carry over into 2012.
U.K. vehicle production rose 7.4% in September from year-ago to 148,097 units, as exports accelerated 19.8% to 119,249 vehicles, accounting for 80.5% of the output.
Society of Motor Manufacturers and Traders CEO Paul Everitt says the increase confirms a positive trend he expects to continue into 2012.
“Major new investment by vehicle manufacturers is opening up opportunities for U.K.-based suppliers, helping to drive the economic recovery and private-sector investment,” Everitt says in a statement.
The auto makers’ association says 2011 has seen a number of high-profile announcements regarding investment, production expansion, new vehicle models and employment security within the U.K.’s automotive sector.
The U.K. industry this year has added 7,400 jobs and preserved another 12,000; made investments worth more than £3.9 billion ($6.1 billion) either directly in automotive or supply-chain activities; launched nine new vehicle models; and announced plans to build three next-generation models.
The new investments include a £10 million ($15.8 million) expansion of Rolls-Royce’s factory in Goodwood, West Sussex, England.
The auto maker says the project at its only factory comes in response to significant growth in global sales since early 2010.
In the year’s first nine months, U.K. vehicle output increased 4.2% to 1,072,273 units, with exports climbing 16.2% to 863,450 to match September’s 80.5% output.
Passenger-car production rose 7.5% in September to 136,051 units, boosting the year-to-date total 4.8% to 983,247.
U.K. engine production grew 6.6% for the month to 244,270 units, with exports rising 1.8% to 166,033. The 9-month total rose 5% to 1,889,376 engines, with exports climbing 4.5% to 1,360,165.
