UK car manufacturing continues to boom

Production volumes increased by 8% year-on-year to 126,566 units in July

UK car production continued to grow in July, with volumes up 8% to 126,566 units on the same period of 2015, according to new figures from the Society of Motor Manufacturers. It was the 12th consecutive month of increased production.

Year-to-date production grew 12% to 1,023,723 units, the best performance since 2000, and the first time in 12 years volumes have been greater than one million in the first seven months of the year.

The SMMT figures revealed that demand was up in both the home and export markets. There was a 14% increase in output for the domestic market, while production for export rose 6% to 101,184 units.

More than three quarters of a million cars built this year are destined for overseas markets, a 78% share of total production volumes.

Mike Hawes, chief executive of the SMMT, said: “UK car production in 2016 is booming, with new British-built models in demand across the world. Manufacturers have invested billions to develop exciting new models and produce them competitively here in the UK.

“Future success will depend on continued new car demand and attracting the next wave of investment so Britain must demonstrate it remains competitive and open for business,” he added.