UK production slows in April amid lower export quota image

Great Britain’s automotive production output dipped modestly last month n regard to the same period last year, with increased sales on the local market unable to compensate a drop in exports.

According to the UK industry body, the Society of Motor Manufacturers and Traders (SMMT), manufacturing dropped 3.8 percent to 128,312 units in April, as the overseas markets demand has started to cool down, with exports accounting for around four out of five autos built in the country. The number of vehicles produced for internal usage jumped 11.1 percent to 29,930 autos, while the export tally slid 7.6 percent to 98,382 units. The British automotive market has constantly outperformed neighboring European rivals after the last Great Recession, with deliveries returning to levels seen before the financial crisis and production on the rise – though in recent months the tally has been dragged down by the weaker than forecasted exports. Britain’s largest market outside the European Union is China and the recent growth slow there has impacted automakers such as Jaguar Land Rover, owned by India’s Tata Motors. Also, in Europe the Russian crisis – UK’s third largest non-EU market, has also affected outside demand as the market there collapsed under a feeble economy and sanctions coming from the western nations because of the country’s implication in the Ukrainian crisis.

Although the crucial overseas markets continue to post weaker performances, the SMMT remained confident its forecast of rising British manufacturing quota will stand up to the task over coming years, as new models are being introduced in the factories.

Via Reuters