(Reuters) – UK car output fell for the seventh consecutive month in September, as factories wind down production of current models to retool for new zero-emission vehicles (ZEV), industry data showed on Thursday.
A total of 70,039 units rolled off production lines in the month, a 20.6% decline from the previous year. The drop is partly due to last year’s strong performance, which was the best since 2020, the Society of Motor Manufacturers and Traders (SMMT) said.
Despite Britain’s strict ZEV mandate, requiring at least 22% of an automaker’s new car sales to be purely electric vehicles in 2024, EV production fell 37% with 21,309 electrified models being made in September.
However, the industry body expects growth to recover as new models come on stream, with car and light van production forecast to exceed one million units in 2027 and with a potential to surpass 1.3 million by 2030.
“As UK Automotive undergoes its most radical transformation in more than a century, short-term production declines were always anticipated, and they represent a temporary adjustment in exchange for long-term growth,” Mike Hawes, SMMT Chief Executive said in a statement.
SMMT had issued an open letter to finance minister Rachel Reeves earlier this month, calling on the new Labour government to introduce incentives for private buyers to speed up the switch to EVs ahead of the upcoming budget.
(Reporting by Yamini Kalia in Bengaluru; Editing by Vijay Kishore)
