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South: UK car manufacturing defies export challenges with year of growth, says SMMT

27 January 2015
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The Society of Motor Manufacturers and Traders (SMMT) has reported that 1,528,148 cars were manufactured in the UK in 2014, representing an increase of 1.2% on the previous year, and making it the best year since 2007.

On top of this, 2014 saw the strongest December in a decade, with 108,721 cars produced, up 27.1% on December 2013.

Output for the UK market matched the growth in overall UK registrations, rising 8.0%.

Mike Hawes, SMMT chief executive, said that this growth has come in spite of challenges in some export markets.

"Placed in context, a 1.2% growth in UK car manufacturing in 2014 represents a very successful year. The industry has overcome various challenges, including slower than expected EU recovery and weakness in some global markets.

"More than £7 billion of investment into UK production facilities has been announced in the past two years, and we are now seeing the effects as new models begin production – with more expected in 2015.

"UK car manufacturing is now more diverse than ever, with a unique combination of volume, premium and specialist brands giving our products truly global appeal. This is epitomised by the doubling of car export values in the decade from 2005 to 2014.”

Car manufacturing Dec-13 Dec-14 % Change 2013 2014 % Change
Total 85,566 108,721 27.1% 1,509,762 1,528,148 1.2%
Home 15,075 22,535 49.5% 308,367 332,952 8.0%
Export 70,491 86,186 22.3% 1,201,395 1,195,196 -0.5%
% export 82.4% 79.3% 79.6% 78.2%

Business secretary Vince Cable said: "These production figures are testament to the strength of our automotive industry, and show that even in tough economic conditions it continues to be one of the driving forces behind our economic recovery. From Sunderland to Goodwood, Britain is turning out cars that are in demand all around the world.

"The UK’s automotive industry is thriving with a new car rolling off the production line every 20 seconds, while increasing levels of investment are helping to secure local jobs. Through the Government’s industrial strategy we are backing the automotive industry as it goes from strength to strength."


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