UK vehicle production makes sluggish start to 2026
UK vehicle production fell 13.6% to 67,415 units in January, according to the Society of Motor Manufacturers and Traders (SMMT).
Its data found that 65,249 cars were manufactured last month and 2,166 commercial vehicles – which is 8.2% down on January last year and represents the 10th month of falling CV production.
The overall decline was driven by a fall in both car and CV exports, which fell 10.1% and 75% respectively.
Meanwhile, production of electric, plug-in hybrid and hybrid cars fell 10.6% to 26,854 units, although they still accounted for 41.2% of car output.
Despite a slow start though, the latest independent outlook now expects overall car production to rise by more than 10% to some 790,000 units in 2026. Combined car and light CV production is anticipated to reach 824,000 units.
Weak exports
Mike Hawes, SMMT chief executive, said: “Weak exports to markets beyond Europe amid soft demand delivered a disappointing start to the year for UK vehicle manufacturing. It reinforces the need for a forward-looking trade agenda that secures existing preferential access – notably with the biggest market on our doorstep given protectionist ‘Made in Europe’ proposals – and builds new ones with markets worldwide.
“That must be combined with more competitive conditions for UK manufacturing; lower energy costs, a strong and sustainable domestic market, and specific support for our supply chain.”
