U.K. First-Half Car Production Achieves 7-Year High
With production volumes up more than 50% since 2009 and many new models going into production in the coming months, the Society of Motor Manufacturers and Traders says the region’s car industry is growing on a global scale.
U.K. automakers had their most productive first half since 2008 as the car build rose 0.3% to 793,642 units – equating to more than three a minute.
Output for the home market was up 13.7% to 188,598 units, while production for export fell 3.3% to 605,044.
The first half ended with June volumes up 5.4% year-on-year to 143,759 units, with production for export up 9.0% to 115,408, outperforming the domestic market, which fell 7.1% to 28,351 units, a reversal of the recent trend.
Releasing the figures, the Society of Motor Manufacturers and Traders says the data is further evidence the sector is leading the way in productivity.
It says the industry achieved £100,000 ($155,323) in value added per employee in 2014 compared with £74,000 ($114,924) in 2010, a 35% increase. SMMT says the performance is particularly impressive when set against the £50,000 ($77,645) average per employee for the U.K. economy as a whole.
With production volumes up more than 50% since 2009 and significant investments still to be realized with many new models set to hit production lines in the coming months, SMMT says the region’s car industry is growing on a global scale.
SMMT CEO Mike Hawes says the latest figures are testament to the increasing demand for the diverse, high-quality range of cars made in the U.K.
The smaller commercial-vehicle production segment grew 29.9% in the first six months of the year to 48,677 units.
Output for the home market rose 31.6% to 24,471 units, while the build for the export books rose 28.3% to 24,206.
The SMMT says the first half ended on a strong note with June seeing a 54.5% year-on-year increase to 9,805 units.
“The figures are encouraging for the sector, with demand for British-built vans, trucks and buses all on the rise,” Hawes says.
“The U.K. CV industry has experienced some turbulence in the recent past, with restructuring of some operations and changes to type approval affecting output,” he says. “It is good to see the recovery continuing, and we are optimistic about the future with demand continuing to grow both in the U.K. and in Europe.”
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