British car production reaches a 72-year low in 20XX
The Society of Motor Manufacturers and Traders (SMMT) has revealed that the output of UK vehicle manufacturing has reached its lowest point since 1953, with a significant decrease compared to historical records.
For the first half of 2025, the production of vehicles in the UK dropped by 11.9% year-on-year, from 473,583 units in 2024 to 417,232 units. This decline was particularly noticeable in commercial vehicle production, which saw a steep 45.4% reduction.
Factors contributing to this low production include economic uncertainty, global trade disruptions, and the need for industry restructuring. The closure of the Luton van factory, owned by Stellantis, is one such factor.
Despite these challenges, there are signs of recovery. Electrified vehicle production rose slightly by 1.8%, showing a shift in product focus. The SMMT also highlights potential foundations for recovery through trade agreements, government strategies, and ongoing investment in new models and EV infrastructure.
Mike Hawes, the SMMT chief executive, stated that the current production figures represent the "real bottom" of the industry. He emphasized the need for UK industry restructuring and competitive improvements to restore competitiveness long term.
The SMMT's figures only cover the first half of the year, and no specific information was provided about the production figures for the second half of 2025 or the production figures from any years other than 2025.
Sources: [1] SMMT (2025). Quarterly UK Automotive Production, Sales and Export Statistics. [Online]. Available: https://www.smmt.co.uk/vehicle-data/uk-new-car-registrations/quarterly-uk-new-car-registrations/ [2] SMMT (2025). UK Automotive Production Statistics. [Online]. Available: https://www.smmt.co.uk/vehicle-data/uk-new-car-registrations/uk-automotive-production-statistics/ [3] SMMT (2025). SMMT Response to UK Government's Automotive Sector Deal. [Online]. Available: https://www.smmt.co.uk/media/2462/smmt-response-to-uk-government-s-automotive-sector-deal.pdf [4] SMMT (2021). SMMT Response to UK Government's Ten Point Plan for a Green Industrial Revolution. [Online]. Available: https://www.smmt.co.uk/media/2389/smmt-response-to-uk-government-s-ten-point-plan-for-a-green-industrial-revolution.pdf
- The decline in vehicle production in the UK might have negative impacts on related industries such as finance and public-transit, as reduced automotive output could lead to fewer available vehicles, potentially affecting transportation needs and business operations.
- Despite the drop in overall vehicle production, the UK automotive industry shows resilience through continued investment in new models, particularly electrified vehicles, which saw a slight increase.
- Government initiatives like trade agreements, strategies, and the Green Industrial Revolution, supported by organizations like the Society of Motor Manufacturers and Traders (SMMT), could be vital in securing a recovery for the finance, automotive, and related transportation industries in the long term.
