Output figure for 2023 “surprised” car industry, making for its best year since 2019
WILL RIMELL
The UK last year built more than one million vehicles for the first time since 2019, with multibillion-pound EV investment from major car makers putting the UK “back in the game”, said the Society of Motor Manufacturers and Traders.
SMMT CEO Mike Hawes said the total of 1,025,474 vehicles (905,117 cars, 120,357 commercial vehicles; up 17% year on year) was a “surprise”, especially given the supply chain issues that hampered car makers in 2023.
Nissan built the most cars, with 324,893 Jukes, Leafs and Qashqais produced at its Sunderland plant. It was followed by JLR (238,422 units), Mini (184,996), Toyota (122,193) and Bentley (12,859).
After the spike, the SMMT has predicted fewer cars will be produced in 2024, although a push from commercial vehicle manufacturers is forecast to take overall production to 1.04 million units.
The SMMT pointed to the shipping issues arising from the emerging conflict in the Red Sea as a potential obstacle for car makers in 2024 and said output could be further hampered as car makers adapt their factories for EV production. The ZEV mandate, which dictates that 22% of total car sales must be electric this year, rising each year thereafter, is another hurdle.
“We are in a much better position than a year ago, but the challenges are unrelenting,” said Hawes.
The last-minute push back of the rules of origin agreement – a week before it was due to be implemented – has stalled early-year production, with many car makers having already deferred EV builds in case the deal fell through. Now due to take effect in 2027, the legislation limits where parts for an electric car can be sourced, with
