Car manufacturing at full speed in UK
Car manufacturing in the UK is as strong now as it has been for many years as a result of big investments over the past 18 months.
According to figures announced ahead of today’s SMMT International Automotive Summit, the UK could surpass the 1972 record of 1.92 million cars produced, with over two million units rolling off domestic manufacturing lines in 2015.
Achieving annual car manufacturing volumes in excess of two million units would equate to an increase in manufacturing output of more than 50% over 2011′s level of 1.3 million units.
“The UK automotive industry is leading economic recovery with increased manufacturing output, growing export volumes and new jobs being created on the back of major international investment in the sector,” said Paul Everitt, SMMT’s chief executive.
“The UK an important location for the global automotive industry,” said Everitt.
“The UK has attracted unprecedented levels of new investment and has a tremendous opportunity to see vehicle manufacturing rise to record levels in the years ahead,” continued Everitt.
According to Everitt, the eurozone crisis is a factor that all businesses are watching closely. To a certain extent, the UK is insulated from the worst of demand fluctuations as it exports 40% of its products to countries outside Europe.
However, it is clear that the ongoing stability and success of UK automotive is linked closely to demand from the continent.
UK automotive investment announcements in 2012, include: Vauxhall confirmed £125 million investment to continue manufacturing at Ellesmere Port, Cheshire – creating 700 new jobs, Jaguar Land Rover commits an additional £1bn to the UK automotive supply chain over the next four years.
In addition, Honda confirmed 500 new recruits to begin work at its Swindon plant, Nissan confirmed production of an all-new hatchback model at its Sunderland facility from 2014, creating 225 jobs at the plant and 900 more in the supply chain.
Jaguar will build an all-new sports car, the F-TYPE, at its Castle Bromwich facility in the West Midlands.
In March, the Government announced the winning bids under the third round of the Green Bus Fund for hybrid, electric and gas buses. The £31 million fund will see 439 new low carbon buses come to UK roads, the majority of which are expected to be manufactured in the UK.
Finally, McLaren Automotive announced plans to build a new facility in Woking for its F1 and sports car operations, creating 400 new jobs.