UK's electrified car production at end of July doubles 2022 levels

The British car industry continued its recovery from the pandemic in July, with a 31.6% year-on-year increase in production.

In total, 76,451 cars were built in the UK last month, according to the Society of Motor Manufacturers (SMMT).

Of these, an overwhelming majority (63,264) were exported, a 36.1% rise compared with July 2022. The top markets included the EU, the US, China, Japan and Australia.

The combined volume of hybrid, plug-in hybrid and battery-electric vehicles produced increased by 73.9% year on year, reaching 30,180.

Almost two in five cars made in July were electrified, said the SMMT, and year-to-date production is nearly double that recorded a year ago, when supply shortages restricted output.

Overall, 526,619 cars were built in the UK from January to July, up 14% compared with the same point last year.

However, it also represents a significant shortfall on the 774,760 built in the UK at the end of July 2019 – before Covid hit and Honda closed its plant in Swindon.

“Recent investment announcements [such as Tata’s plan to build a battery factory in Somerset] have undoubtedly bolstered the sector, but global competition remains tough,” said SMMT chief executive Mike Hawes.

“We need a coherent strategy that builds on our strengths and supports all aspects of advanced automotive manufacturing."

According to the SMMT’s most recent forecast, published in June, the UK’s output of new cars will hit roughly 860,000 units this year.

That will be a 10.9% increase from 2022 but significantly short of the figures recorded before the pandemic. In 2018, the nation’s production volume had far exceeded 860,000 by the end of July.