UK Car Manufacturing at its Strongest in 6 Years

UK Car Manufacturing at its Strongest in 6 Years

Despite seeing a drop off in September, UK car manufacturing growth is at its strongest in six years as more than 1.13 million cars came from British factories in the past nine months which is a rise of 0.8% from the past six months and is the highest since 2008 according to figures coming from the Society of Motor Manufacturers and Traders (SMMT).bigstock-manufacturing-parts-for-car-resized

There is a slight niggle in the sector as the European Union and other key trading partners are stuttering at the moment which saw September’s figures fall by 2.8% which was largely due to the fact that the number of cars built for export plummeted by 8.1%. Although this looks like bad news, the domestic market appears to be thriving with sales up 17.7% in the UK. If growth like that can be maintained within the domestic market, the UK industry may well be able to ride out the worst of the torrid times the markets on the continent are currently experiencing.

The SMMT also said that the drop in output in September is partially down to planned re-tooling of production lines as factories prepared for model changes and if this is the case then the actual figure of how far the demand for vehicles has dropped off could be far lower and as such a lot less to worry about.

Mike Hawes, the SMMT’s chief executive, said of the re-tooling process:

“The continued investment by the sector into new models means the September figures took a slight dip as some plants underwent re-tooling but it is these same new models which will help increase production volumes in the future,”

Car production rose by 21% in the first quarter of 2014 and has continued to surge forward as Britain makes the most of the premium car market of which it holds a decent share with wealthy Asian customers buying into the prestige of certain makes and models.

Britain is now the second largest car making nation in Europe by value with high end cars being the order of the day and bringing in the most to British shores. Manufacturers and economists alike will be hoping the drop in production in September was just a minor blip in their continued surge towards dominance in the automotive industry.

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