British car industry posts lowest output in a decade
Patrick Atack in London
Europe;UK

New figures released by the British car makers' industry body show car production fell by 14.2 percent in 2019, to 1.3 million units – the lowest output since 2010. 

The Society of Motor Manufacturers and Traders (SMMT) revealed a 6.4 percent drop in manufacturing in the month of December 2019, which completed three years of decline.

The SMMT said weak consumer and business confidence, along with factory closures, harmed the sector. "Expected disruption" from Brexit was also identified as a cause of the slowdown.

 

Overall UK car manufacturing has not grown since 2016, but 'alternative fuelled' vehicle numbers are on the rise. (Credit: SMMT)

Overall UK car manufacturing has not grown since 2016, but 'alternative fuelled' vehicle numbers are on the rise. (Credit: SMMT)

 

Production for domestic markets fell 12.3 percent and exports were down 14.7 percent. However, exports still ruled the market, with eight out of every 10 cars made in the UK exported to Europe, the U.S., China and Japan. 

But it wasn't all bad news for the UK auto industry – "alternatively fueled" car production, such as electric, plug-in hybrid and hybrid vehicles, grew by 34.7 percent to 192,304 units.

"The fall of UK car manufacturing to its lowest level in almost a decade is of grave concern," Mike Hawes, CEO of the SMMT, said in a statement. 

"Given the uncertainty the sector has experienced, it is essential we re-establish our global competitiveness and that starts with an ambitious free-trade agreement with Europe, one that guarantees all automotive products can be bought and sold without tariffs or additional burdens," he added.