Tag Archives: August ending

Slow August Marks the End of UK Car Production Growth

In August, car production in the UK experienced a decline, putting an end to six months of consecutive year-on-year growth. The decrease in production is attributed to the annual summer shutdowns and planned factory upgrades.

Last month, a total of 45,052 cars were produced, which is 31,399 fewer than July. August is traditionally known as the quietest month for car production.

Compared to the same period last year, there were 4,849 fewer cars produced, indicating a 9.7% decrease, according to data from the Society of Motor Manufacturers and Traders (SMMT).

During the summer, Stellantis’s Ellesmere Port facility was among the factories preparing for the production of next-generation vehicles. It recently reopened after undergoing a £100 million renovation to facilitate the manufacturing of electric vans for brands such as Citroën, Fiat, Opel, Peugeot, and Vauxhall.

However, there was some positive news in August. The production of electrified vehicles, which includes electric cars and various types of hybrids, continued to grow for the 14th consecutive month, with a 2.8% year-on-year increase. These vehicles accounted for 36% of all cars produced in August.

The largest decline in production was seen in cars destined for the domestic market, which decreased by 25.2% compared to the previous year, amounting to 8,010 cars. Additionally, export numbers, which made up 82.2% of total output for the month, also dropped by 5.5% to 37,042.

Before August, the UK car industry enjoyed six months of year-on-year growth, producing 69,707 cars in February, 81,605 in March, 66,527 in April, 76,046 in May, 84,767 in June, and 76,451 in July.

Overall, the UK has produced a total of 571,671 cars in 2023, indicating an 11.8% increase compared to the same period last year. This growth is largely attributed to a successful first half of the year, during which 450,168 cars were produced.

SMMT Chief Executive Mike Hawes reassured that the decline in August is not a cause for concern. He explained that car manufacturers utilize the summer holiday season to upgrade their plants in order to meet the demand for the next generation of electric vehicles. He also highlighted that a record number of these models are already being produced.