U.K. Vehicle Output Up 9% in 2012; Engine Builds Flat

U.K. car production smashed its export record in 2012 with volumes rising 7.8% to 1,212,031 units as total output climbed 9% to 1,464,906 units, the highest level since 2008.

Society of Motor Manufacturers and Traders CEO Paul Everitt says 2012 was a very good year for U.K. car production, and the outlook for 2013 remains positive.

Demand in many faster-growing global markets is offsetting continued weakness in European economies, he says in a statement.

“The £6 billion ($9.6 billion) of investment committed to U.K. facilities, new-model programs and (research and development) signals a bright future and many new opportunities for companies in the supply chain.

“These remain extremely challenging times, and it is essential industry and government continue to work together to secure long-term industrial growth.”

Business Secretary Vince Cable says the U.K. motor industry is achieving success by making products that are in demand across the world.

“There is no room for complacency,” he says, “and to build on this competitive advantage we are working jointly with the auto sector on a long-term industrial strategy.”

The SMMT says 2012 commercial-vehicle output fell 6.8% to 112,039 units after an 18.9% drop in December to 6,851.

U.K. engine production remained stable, down just 0.3% in 2012 to 2,495,371 units.

The SMMT says CV and engine-manufacturing output last year reflected weak demand in Europe, as instability in the eurozone and fresh austerity measures hurt consumer confidence.

Vauxhall Chairman and Managing Director Duncan Aldred, noting the General Motors subsidiary has been building and selling vehicles in the region without interruption since 1903, reports the auto maker produced 58,838 vans last year, making it the U.K.’s top CV vehicle manufacturer for the 11th consecutive year.

Aldred says in a statement both Vauxhall plants have been allocated new products securing production into the next decade. The Luton van facility will build the next-generation Vivaro starting in 2014, while Ellesmere Port was named lead European manufacturing plant for the next-generation Astra, due to begin production in 2015.