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UK Car Production Declines in November 2018

UK Car Production Declines in November 2018

Production of cars in the UK falls by 20% in November 2018



The decline of cars produced in the UK has mainly been caused due to the slow in demand, both in the UK and in export markets. The SMMT, Society of Motor Manufacturers and Traders have also declared that exports have also declined for the fifth consecutive month in November.


It is believed that the change in regulations have also had an impact on the production of cars, as most manufacturers are adjusting to the requirements of the new emission standards, introduced in September 2018. Some manufacturers have highlighted the wait for new engines and transmissions as being the main reason for the decline in production figures with others indicating the technology featured on newer models being amongst the contributing factors.


Manufacturers such as Toyota have confirmed that production for certain models, in this case the Corolla have not yet reched its maximum due to a slow in demand.


Jaguar Land Rover are rumoured to be axing upto 5,000 jobs as they announce the new 2.5bn restructuring plan called project charge and project accelerate. It was announced earlier in the year that JLR had made a pre tax loss of £90m for the three months to the end of September compared to the same period in the previous year. Certain plants have been closed for short periods over the last couple of months with bosses blaming fluctuating demand and market uncertainty. Other plants such as the Castle Bromwich plant have seen employees moved to a three day week to cut production costs.