Car production falls in July after high half-yearly output

Car production fell last month, figures show, but the industry is still in a strong position, a trade body has claimed.

The first half of the year was the best since 2008, with three cars built in the UK every minute, but July saw a slowdown, said the Society of Motor Manufacturers and Traders (SMMT).

There were 117,665 cars manufactured last month, an 11.2 per cent drop on the same period last year.

The fall is likely to be down to some firms pausing production in the summer period and workers taking holidays, said SMMT chief executive Mike Hawes.

He said: “Car production is traditionally subject to a degree of fluctuation during the quieter summer months with some manufacturers pausing production to invest in upgrades and prepare for new model launches, as well as to manage holiday leave.

“The industry remains in a strong position, with more than 911,000 cars produced so far this year and some significant new model introductions due in the autumn.”

So far this year 911,307 cars have been built, down 1.4 per cent on the same period last year. Domestic demand is up eight per cent, while exports are down 3.9 per cent.

A study earlier this year by the SMMT predicted the number of vehicles built will reach almost two million in the next two years.