UK car production declined by nearly six per cent last month

UK car production hit by fall in demand from Europe

Declining demand from Europe put the brake on UK car production last month.

There were 128,192 cars made in the UK in September 2012 – a 5.8 per cent fall on the September 2011 figure, said the Society of Motor Manufacturers and Traders (SMMT).

Commercial vehicle (CV) production fell even more last month – dipping 20.2 per cent to 9,607. Engine production in September 2012 was also down – slipping 12.8 per cent to 213,052.

Despite the September fall, car production for the year so far, at 1.08 million, is up 10.2 per cent compared with the January-September 2012 total.

CV production in the first nine months of this year is down 7.5 per cent at 82,315, while engine production has fallen 0.4 per cent to just over 1.88 million.

"Declining demand for cars and vans across the major European markets impacted UK vehicle and engine production in September," SMMT chief executive Paul Everitt said. "Total UK vehicle manufacturing in the year so far has increased, but monthly output fell in September.

"The strong demand for UK products outside Europe and the investment committed by major vehicle manufacturers will secure future growth, although the coming months will be challenging for companies at all levels in the supply chain.

"European governments must focus on securing financial stability and economic growth or they risk long-term damage to key industries."

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