UK Car Production Falls 10% In 2022; EVs See Strong Performance
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Auto Manufacturing
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Auto Manufacturing
Consumer Discretionary
- Annual U.K. car production falls -9.8% to 775,014 units in 2022 as global chip shortages and structural changes depress output.
- The data released by the Society of Motor Manufacturers and Traders (SMMT) indicated that production in 2022 was 40% less than pre-pandemic in 2019.
- The main reasons for the depressed output were the crippling global shortage of semiconductors, which limited the ability to build cars in line with demand.
- Also, significant structural changes, reflecting a loss of production at two volume manufacturing sites; and the impact of supply chain pauses in China due to Covid lockdowns played a key role.
- On the brighter side, the battery electric (BEV), plug-in hybrid (PHEV) and hybrid (HEV) electric vehicles volume rose 4.5%.
- Electric vehicles represented almost a third (30.2%) of all car production.
- Since 2017, the value of BEV, PHEV and HEV exports has risen seven-fold, from £1.3 billion to more than £10 billion.
- Electrified vehicles represent 44.7% of the value of all UK car exports.
- Photo via Wikimedia Commons