UK: Car production Hits Seven-Year High in 2014 image

UK car production rose last year to 1.53 million vehicles, the highest level since 2007, the Society of Motor Manufacturers and Traders (SMMT) announced on Friday. Every 20 seconds a new vehicle was produced in the UK.

In addition, in December were produced 108,000 new vehicles – the most successful December in a decade.

The growth was driven by a strong domestic demand for new cars, as exports fell for the second year mostly because of the weakness of the European market that is not recovering as fast as expected.
However, according to the SMMT, the value of car exports between 2005 and 2014 has doubled.

Nissan was the main producer of vehicles in the UK – its factory in Sunderland built more than half a million vehicles in 2014 (500,238) – followed by Jaguar Land Rover that produced 449,507 new cars.

“More than £7 billion of investment into UK production facilities has been announced in the past two years, and we are now seeing the effects as new models begin production – with more expected in 2015.

Other automakers including Mini (178,993 cars built at Plant Oxford) and Toyota (172,215 cars) announced strong production figures for 2014.
Honda however said production of new cars in the UK was down 12.3 percent in 2014 to 121,799 units mostly because some internal consolidation.

According to EY Item Club, the British economy is expected to rise faster than expected mostly because of the plunging oil prices.