UK vehicle production falls amid declining exports

UK vehicle production fell by 11.6 percent in July to 63,655 units, according to data from the Society of Motor Manufacturers and Traders (SMMT). The decline was driven by a significant drop in exports, which fell nearly 16 percent to 47,377 units, and the impact of routine summer maintenance shutdowns at various plants.

Car production decreased by 10.6 percent, while commercial vehicle output saw a sharp decline of 34.4 percent. Export volumes dropped across all major markets, including the EU, the US, Turkey, China, and Japan.

Despite the overall downturn, production of fully electric and hybrid models recorded its first monthly increase of the year, rising 6.8 percent to 25,678 units. Electrified models now account for more than 40 percent of all vehicles built in the UK, up from approximately 30 percent a year ago. SMMT chief executive Mike Hawes noted that while the rise in electrified vehicles is encouraging, manufacturers face intense pressure from weak overseas demand and global competition.