The Society of Motor Manufacturers and Traders (SMMT) suggests that the UK auto industry could suffer from a loss of around 200,000 units by the end of 2020, representing under 1.1 million and a fall of 18%, as a result of the impact of the Covid-19 pandemic. However, the impact could be far more severe if the crisis, and therefore shutdowns, were to last for months instead of weeks, the association said.
‘With UK car plants now effectively on national shutdown and many global markets closed, the outlook is of deep concern,’ said Mike Hawes, SMMT chief executive. ‘We wholeheartedly welcome government’s extraordinary package of emergency support for businesses and workers, but this must get through to businesses now. If we’re to keep this sector alive and in a position to help Britain get back on its feet, we urgently need funding to be released, additional measures to ease pressure on cashflow and clarity on how employment support measures will work.’
In February 2020 British car manufacturing fell 0.8%, with 122,171 vehicles produced, representing a loss of just over 1,000 units compared with February 2019. Global shipments fell 3.1% to just short of 95,000 units. While exports to the US and Asia fell substantially, in the domestic market output rose 7.8%, with 27,172 cars produced.
This story uses material from SMMT, with editorial changes made by Materials Today. The views expressed in this article do not necessarily represent those of Elsevier.
