Automotive manufacturing within the UK fell by 41.4% in October as producers continued to really feel the pressure brought on by the semiconductor disaster and different provide points, the Society of Motor Producers and Merchants (SMMT) has introduced.
Factories produced 64,729 automobiles, representing the fourth consecutive month of decline and the weakest October determine since 1956. 12 months-to-date output dropped by 2.9% to 721,505.
Numbers dropped resulting from manufacturing stoppages brought on by the on-going scarcity of chips and have been exacerbated by the everlasting closure of Honda’s Swindon plant in July, the SMMT mentioned, noting that the deficit may influence figures for a 12 months.
Nevertheless, the uptake of electrified automobiles remained wholesome, with battery electrical autos (BEVs), plug-in hybrids (PHEV) and hybrids (HEV) comprising 30% of October manufacturing.
Manufacturing of zero-emissions fashions reached 50,000 for the 12 months to this point – greater than the 43,790-unit determine achieved in 2019, as manufacturing of EVs rose by 17.5% to 8454 models.
“These figures are extraordinarily worrying and present how badly the worldwide semiconductor scarcity is hitting UK automotive producers and their suppliers,” mentioned SMMT chief govt Mike Hawes.
“Britain’s automotive sector is resilient, however with Covid resurgent throughout a few of our largest markets and world provide chains stretched and even breaking, the instant challenges in holding the business operational are immense.”
The SMMT suggests the UK authorities can assist the business with measures to lift competitiveness with world rivals, in “tackling excessive vitality prices, supporting employment and coaching and serving to companies whose cashflow is underneath stress from these traditionally poor manufacturing numbers.”