UK car production rises again, but warns of ‘alarming’ energy costs
Thursday, 25 August 2022
For the third consecutive month in July, UK car production rose, hinting that component shortages are beginning to ease after the COVID-19 pandemic.
The increase raises hopes that a global lack of car parts such as semiconductors, which has disrupted manufacturing, could be easing, though a full recovery is some way off following the pandemic.
A total of 58,043 cars were built in the UK in July, 8.6% more than during the same month last year, according to figures from the Society of Motor Manufacturers and Traders (SMMT).
That equates to 4,605 extra cars built compared to July 2021, and clear indication that component shortages may be easing.
Almost a third of all cars made in July were either electric or hybrid amounting to some 17,356 vehicles.
领英推荐
But the SMMT warned the continued growth "must be set in context" given the comparison with the same month last year, which was the worst July in more than 60 years as carmakers wrestled with parts shortages and coronavirus-related staff absences, leading to many factories altering their summer shutdown timings.
SMMT Chief Executive Mike Hawes said: “A third consecutive month of growth for UK car production is, of course, welcome and gives some hope that the supply chain issues blighting the sector may finally be starting to ease.
“But other challenges remain, not least energy costs which are increasing at alarming rates.
“If we are to attract much needed investment to drive the production of zero emission vehicles, urgent action is needed to mitigate these costs to make the UK more competitive for manufacturing.
“This must be a priority for the next Prime Minister, otherwise we will fall further behind our global rivals, risking jobs and economic growth.”
Source: Sky News