UK car production fell in November - SMMT

According to the report from the Society of Motor Manufacturers and Traders (SMMT), UK car production declined -1.4% in November to 106,243 units. Although a better year on year performance than many other months in a challenging 2020, the fall in output masks a particularly weak November 2019 when precautionary factory shutdowns in anticipation of a potential ‘no deal’ Brexit on 31 October depressed output.

November saw 1,501 fewer cars made than in the same month last year, as many of the factors present throughout much of 2020 conspired to dampen domestic orders, not least a second national lockdown in England and subsequent economic and political turbulence. Export volumes were flat, up just 0.3% and equivalent to a rise of 310 units, boosted by shipments to key markets in the EU, Asia and the US.

More than eight in 10 (85.3%) cars built in November were built for export, highlighting the critical importance of free and fair trade with global markets to UK car makers. 

In the 11 months to November, total UK car production is now down -31.0% compared with the same period in 2019, representing a loss of 380,809 models at a cost of some £10.5 billion to the sector. This puts the industry on course to produce fewer than a million cars this year for only the second time since the early eighties and facing a tough future with potential further production losses amounting to £55.4 billion over the next five years if the sector is forced to trade on WTO conditions in a ‘no deal’ Brexit.