8:14 am, August 21, 2014
JULY saw UK manufacturing break the five million car export mark since the beginning of 2010, reveal SMMT figures.
According to the SMMT, just over 132,000 cars were manufactured in July – a rise of 2.8 per cent.
And the average car exported today is worth more than £20,600 compared to £10,200 a decade ago.
Mike Hawes, SMMT chief executive, said: ‘The UK automotive industry continued its renaissance in July, with the month marking five million car exports since 2010.
‘This is a major milestone and testament to the burgeoning reputation of UK automotive excellence and demand for British-made cars.
‘Significantly, UK car export values have doubled over the past decade – reflecting the diversity of the products we make and proving the sector’s worth as a global investment opportunity.’
John Leech, head of automotive for KPMG in the UK, said: ‘UK car production continues to climb steadily, a trend we expect to continue for the next three years bolstered by exciting new launches such as the Jaguar XE and the new Vauxhall Astra.
‘The figures show the price of cars exported by the UK has doubled in the past decade underlining how the UK has successfully moved up the value-chain to become predominantly a producer of luxury cars and higher-priced volume cars such as the Nissan Qashqai crossover. Other Western European countries will be looking enviously at the UK as these vehicles provide a stable and profitable platform giving suppliers the confidence to invest, which they are doing.
‘The price of cars imported has increased only by 14 per cent over the same period which when compared to the doubling in the price of exports means that the balance of payments in cars has swung from a deficit of £8bn a decade ago to a surplus today. By 2017 we expect the surplus on the balance of payment for vehicles to have soared to £8bn. This truly represents a remarkable turnaround in fortunes and is due to the strength of the UK’s vehicle brands and the most effective government-industry collaboration of any sector here in the UK.’
