Engineering news
British's car production hit a record 10-year high in 2015, according to new figures from the Society of Motor Manufacturers and Traders.
Manufacturing increased 4% on 2014, with output at 1,587,677, overtaking pre-recession levels for the first time.
A record 77% of total production was for export, with 1,227,881 units leaving the UK, up 3% on 2014 levels. Challenges were experienced in some global markets such as China, where demand fell by 37.5%, and Russia, where export volumes declined 69%. However, the economic recovery in Europe, the UK’s biggest trading partner, boosted demand for UK-built cars considerably by 11.3% in 2015. The region now accounts for 57.5% of all UK car exports.
Meanwhile, in the US, demand rose by 27%, making it the UK’s biggest trading destination outside the EU, ahead of China. Growth was also seen in Australia (54%), South Korea (55%), Turkey (41%) and Japan (35%).
British consumer and business demand for British-made cars also contributed to last year’s success, with the home car market rising 8.1% on the previous year. One in seven new cars registered in the UK in 2015 was made in Britain.
Mike Hawes, SMMT chief executive, said: “Achieving these hard fought for results is down to vital investment in the sector, world class engineering and a committed and skilled UK workforce – one of the most productive in the world.
“Continued growth in an intensely competitive global marketplace is far from guaranteed, however, and depends heavily on global economic conditions and political stability. Europe is our biggest trading partner and the UK’s membership of the European Union is vital for the automotive sector in order to secure future growth and jobs.”
Eight brand new car models were produced in UK plants in 2015, and with £2.5 billion of fresh investment committed to the sector in 2015, more are set to follow in the coming months.