UK car production down 27% in August but the share of electrified vehicles increases

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The current global semiconductor shortage contributed to another sharp drop in UK auto production, falling 27% in August year on year.

The so-called chip crisis, along with a number of prolonged summer plant shutdowns, has wreaked havoc on the global auto industry, with a lack of critical electrical components causing production line shutdowns at many. many traditional manufacturers.

The shortage is hampering the ability of businesses to return to normal production levels after the peak of the pandemic.

Society of Motor Manufacturers and Traders boss Mike Hawes described the most recent drop as “extremely worrying both for the industry and its thousands of workers across the country.”

Despite the overall decline, it was another positive month for the production of electrified vehicles, with hybrids, plug-in hybrids and electric vehicles accounting for 27.6% of the 37,246 cars produced in the UK last month – a record monthly share .

Since January, said the SMMT, UK car factories have produced some 137,031 alternative fuel cars, more than 50,000 more than in the same period last year.

Production for the domestic market grew 3.3% month-on-month (an increase equivalent to just 255 cars), while exports fell 32.5%, mainly due to a significant drop in the number of cars. sent to Australia, China and the United States.

Compared to 2020, hit by the pandemic, the UK built 13.8% more cars, to 589,607 – but more importantly, 32% fewer than in 2019 and a substantial 42% drop from compared to the five-year average.

Hawes said: “While not the only factor at play, the impact of the semiconductor shortage on manufacturing cannot be overstated. production in progress, the constraints to continue until 2022 and perhaps beyond.

“Employment assistance programs such as the leave have proven to be a lifeline for auto companies, but its end comes today at the worst possible time, with the industry still facing Covid-related shutdowns which harm the sector and threaten the supply chain in particular. Other countries have extended their support; we need the UK to do the same.


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