Mixed month for UK production

June was a mixed month for the industry, with the production of commercial vehicles in the UK falling but engine production rising substantially.

According to figures released by the Society of Motor Manufacturers and Traders (SMMT), the production of commercial vehicles plummeted 21.7% in June with just 7,686 units built in the UK in June.

Mike Hawes, SMMT Chief Executive, said, ‘Disruption to fleet renewal patterns triggered by type approval changes last year meant manufacturing output spiked by more than half in June 2015. As a result, this year’s June performance was always going to be negative so the drop is no surprise.

‘The market remains at a high level, buoyed by continuing resurgence in key EU markets, with more than half of UK CV output sold overseas. Maintaining the competitive trading conditions currently afforded by EU membership, including free access to major international markets, will be critical to this sector’s future performance.’

Counting against that, the SMMT reported a 6.3% growth in engine production in June with output reaching 242,011 units.

Mike continued, ‘It’s good to see such a strong first half to 2016 for engine production in the UK, with the significant investment committed in recent years by manufacturers reflected in the sector’s growth. Demand for British-built engines is booming but, with export markets still accounting for more than half of production, it is vital that the right trading conditions are maintained so industry remains internationally competitive and continues to thrive.’