Exports Push Demand as UK Commercial Vehicle Production Rises

The standout news from June is that the British CV manufacturing grew by 6.1%, as 7,769 vehicles left the production lines. This is according to the latest figures released by the Society of Motor Manufacturers and Traders (SMMT).

Demands Pushed by Exports

Production for the UK rose by 3.1%, which is equivalent to 91 units, alongside a more substantial 8.1% boost in export demand. This increase in export demand is represented by 4,713 vehicles being shipped to overseas markets during the month.

CV Output June

The overall picture for the first six months is however less rosy with output remaining 5.3% behind performance for the same period in 2017. The decline was largely driven by slower UK demand, down -14.9%, as fluctuating fleet buying cycles and business uncertainty affected the market.

Meanwhile, exports have managed to remain stable, up 0.2% in the year to date, to 27,873 units.

 

Interestingly, almost seven out of every 10 vans, trucks, taxis and buses built in the UK in the first half of 2018 were exported, with some 95% of those going to the EU.

Mike Hawes, SMMT Chief Executive, said, “These latest results once again demonstrate the importance of exports to commercial vehicle manufacturing in the UK.

Hawes went on, “Overseas demand for the high-tech, ultra low and, increasingly, zero emission vehicles we produce has been the major driver of production so far this year, and with the vast majority of exports destined for the EU, maintaining free and frictionless trade is vital for the continued success of the sector.”

 

About the author

Richard Wilson is the deputy editor for Commercial Tyre Business. Since 2015, Richard has worked as a correspondent for all of the titles across the Valebridge Publications Ltd Group namely: Retreading Business, Tyre & Rubber Recycling, The Tyreman and Truck and Bus News. Richard has worked on/off from the age of 16 for the company and whilst gaining a Bachelor's Degree in Spanish and Business Studies at Coventry University, he developed his writing skills at the University paper and more recently writing his own independent blog.

Contact: richardjwilson@btconnect.com

Phone: (44) 1270 668 718

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