Car Production Stalled Yet Again In July

Thu 27th Aug 2020

Despite many automotive producers returning to work in July, the coronavirus pandemic still had a huge impact across the UK according to latest figures.

The data published by the Society of Motor Manufacturers and Traders revealed that there were 85,686 motors built in UK factories last month, down 20.8 per cent on the same month in 2019.

While some might point out that the UK economy will take some time to get back to normal, many industry insiders had hoped for a full return to vehicle output, citing pent up demand from buyers and dealers, but that doesn’t appear to be reflected in the figures.

New car registrations rose in July following a total halt in April and May, but again the overall annual picture was stark with numbers down 40 per cent on the year.

“As key global markets continue to re-open and UK car plants gradually get back to business, these figures are a marked improvement on the previous three months, but the outlook remains deeply uncertain,” said SMMT chief executive Mike Hawes.

The SMMT has continually warned of the adverse affect that a no-deal Brexit would have on the motor industry and in the light of the COVID affected sales and output for 2020, Hawes has warned of dire consequences.

“The impact of tariffs on the sector and the hundreds of thousands of livelihoods it supports would be devastating, so we need negotiators on both sides to pull out all of the stops to ensure a comprehensive free trade deal is agreed and in place before the end of 2020,” Hawes said.