UK car industry optimistic despite August production decline

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Industry chiefs hail future investment as key for return to growth but call on government to finalise automotive plan

UK car production fell 8.4% year on year last month, but industry chiefs are confident that trend will be reversed in the longer term due to significant incoming investment – while calling on the new government to ensure regulations are in place to allow this. August is traditionally one of the quietest months for car production because of summer shutdowns for staff holiday and to allow maintenance work on the factory facilities. As a result, 42,271 cars were built in the UK last month.

Of the 41,271 cars produced in the UK in August, 6421 were destined for the domestic market, a year-on-year dip of 19.8%. But that figure was amplified by the small output for the month, and overall the number of UK-built cars sold domestically in 2024 remains up, year on year. The 34,850 cars built for export marked an annual decline of just 5.9%. Of those, virtually half were exported to the EU, with the US, China and Japan the next biggest markets.

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