The UK car industry is “back on track” after the number of cars produced rose again, the latest motor industry data shows.
The Society of Motor Manufacturers and Traders (SMMT) said production rose 14.8 percent in November compared with the same month last year.
A total of 91,923 vehicles were built, up 11,832 from last November and the best monthly figure since 2020.
Production increased both in the domestic market (13.4 percent) and in foreign markets (15.2 percent). Export growth was mainly driven by the EU, China and Turkey, with Europe accounting for the largest share (60.8 percent) of all shipments.
UK production of battery electric, plug-in hybrid and hybrid vehicles rose 20 percent to 35,169 vehicles in November.
Mike Hawes, SMMT chief executive, said: “UK car manufacturing is returning to normal following difficult years of Covid and associated supply chain challenges. Now that significant investment has been made, confidence in the industry has been renewed.”
The production data comes as it was confirmed tariffs on electric cars will be scrapped from next year after the UK and EU agreed to expand trading rules.
Both the UK and the EU have agreed to extend existing rules until the end of 2026, Rishi Sunak said. Europe is the largest market for British car manufacturers, and the UK is the largest market for European car manufacturers.
From 1 January, rules of origin will apply: tariffs of 10 per cent on car sales between the UK and the EU if at least 45 per cent of the vehicle’s value comes from outside the UK or EU.
The SMMT estimates that the tariffs could lead to an average price increase of £3,400 for EU-made all-electric vehicles bought in the UK.
Mr Hawes welcomed the deal, calling it “a win for motorists, the economy and the environment”.
He added: “Keeping electric vehicles duty-free will ensure consumers have the widest and most affordable choice of models at a time when we all need motorists to make the switch.”
Source: I News
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