UK vehicle output falls in November

UK vehicle production fell by 14.3% in November as disruption in commercial vehicle manufacturing outweighed signs of stabilisation in car output, according to figures published today by the Society of Motor Manufacturers and Traders (SMMT).

A total of 65,932 cars and commercial vehicles rolled off UK production lines last month. Car output dipped by just 1.7% to 63,126 units as manufacturing continued to normalise following the cyber incident at Britain’s largest automotive employer. In contrast, commercial vehicle (CV) production slumped by 78.0% to just 2,806 units – 9,943 fewer than a year ago – marking the eighth consecutive monthly decline.

While car production fell for the fourth month in a row, the drop was marginal, with only 1,090 fewer vehicles built compared with November last year. CV volumes, covering vans, trucks, buses and coaches, remain under severe pressure as a result of the consolidation of two manufacturing plants into one in the North West.

Car output for the UK market rose sharply, up 46.9% to 14,589 units, while production for export declined by 10.6%. Shipments to the UK’s five largest export markets – the EU, US, Türkiye, China and Japan – all fell. Despite this, exports still accounted for more than three-quarters (76.9%) of total car production, with 48,537 vehicles built for overseas markets.

The production figures were released during a mixed week for the automotive sector. The start of next-generation, volume electric vehicle production in Sunderland points to renewed growth potential next year, offering a boost to UK manufacturing confidence. However, this optimism has been tempered by concerns over the European Commission’s proposed Automotive Package.

Under the proposals, new flexibilities on CO₂ targets and public subsidies to green corporate fleets would be tied to cars and vans ‘made in the EU’. The plans would also permit a wider range of technologies beyond 2035, potentially putting the UK out of step with its largest export market and primary source of vehicle imports. Industry leaders warn that such measures risk adding complexity and uncertainty at a critical time for investment decisions.

While the EU package is designed to support the transition to low-carbon vehicles and strengthen European automotive competitiveness, the UK industry has cautioned that excluding close trading partners could be counterproductive. Given that the UK is the largest destination for EU-built vehicles and a major export market for EU automotive parts – and vice versa – any restrictions could have damaging cross-Channel consequences.

The sector warns that the proposals risk raising costs, limiting consumer choice, weakening supply chain resilience and undermining the regional integration achieved in recent years. Instead, the industry is calling for a deeper UK-EU industrial partnership, making full use of the Trade and Cooperation Agreement (TCA), and for UK-made automotive content to be recognised within any ‘Made in Europe’ definition.

“Growth is expected next year, with the industry poised to reap the benefits of recent UK government backing – notably new funding, modernised trade deals and efforts to reduce energy costs.

“The growth this package seeks to create, however, would be undermined if the UK becomes the main unintended victim of new EU local content requirements. We must instead work on a pragmatic and inclusive approach, one which protects and enhances competitiveness across the European automotive ecosystem.”