The Heavyweight Bounce back!

Ive talked about the strong growth in the CV sector before caused largely by the globalisation of production meaning more goods entering by seaport needing road transport to warehousing and distribution centres and the Covid induced boom of home shopping leading to strong fleet purchasing to meet home or 'Last mile' deliveries.

Well now the numbers are in and the UKs Commercial Vehicle ( CV ) production figures are more than the opposite that of cars. Partly due to the lack of availability of components such as semiconductors and wiring looms 100,000 fewer cars were built in the Uk in Quarter 1 2022 compared to Q1 2021.

In fact, according to the Society of Motor Manufacturers and Traders (SMMT ) , the UK manufacture of cars fell by a third (32.4%) in the first quarter of this year whereas CV production grew by 57% in the same time frame. Over 25,000 LCV, HGV, taxis, buses and coaches rolled out of British factories in Q1, including over 10,000 units just in March, an increase of 64.3% in the month.

March also saw CV production finally exceed pre-pandemic levels, up over 11% on 2019’s numbers, with over 1,000 more vehicles built.

Exports actually drove the growth over the first three months of this year, with a 71% uplift or over 5,000 more CVs heading overseas, while domestic production also increased by an equally impressive 43%. In all, over half (57%) of all CVs produced this year were exported with 94% of these heading to the EU.

So despite a perfect storm of lack of componentry and the surge in fuel and labour costs, the UK heavy vehicle manufacturing industry remains strong and British product is in demand from both the home and overseas markets. No doubt increasing fuel costs is driving operators to invest in their fleet to gain better efficiencies, driver shortages will also lead operators to try and provide better driver environments and comfort levels and new technologies can provide remote and more detailed levels of business information in terms of driver behavior and vehicle performance.

So whilst the Lightweight division sweats it out watch the Heavyweights parade round the ring!!