U.K. Sees Best January Production in Eight Years

U.K. light-vehicle manufacturing grew 8% year-on-year, posting its best January since 2008 on a volume of 137,552 units.

The Society of Motor Manufacturers and Traders says increased foreign demand for British-built LVs saw production for export grow for the sixth consecutive month, up 9.7% to 106,441 units.

Output for the domestic market rose 2.5% to 31,111 units, an indication of the strong state of the domestic market, the SMMT says.

The fast January start follows a record year for exports in 2015, when car production hit 1.6 million, the best result in a decade.

SMMT CEO Mike Hawes says January’s figures mark an encouraging start to the year.

“We expect output to continue growing in the coming years as the industry benefits from continuing investment, but much will depend on global economic and political conditions and consumer confidence,” he says in a statement.

Meanwhile, commercial-vehicle production rose 24.4% in January to 6,770 units. Exports fueled demand, rising 65% year-on-year to 3,458 units, while production for the U.K. market eased 1.2% to 3,302.

“Recovery in Europe continues to benefit the sector,” Hawes says.