UK Car Production Drops to Lowest Level Since 1954

Factory closures, weak global demand, and the shift to electric vehicles have contributed to a sharp decline in British automotive output.

UK car production fell to 779,584 units in 2024, a 13.9% decline from 2023, marking the lowest output since 1954 outside of pandemic years.
The transition to electric vehicles disrupted production as factories retooled for battery electric vehicle (BEV) manufacturing, causing temporary slowdowns.
Exports, which account for nearly 80% of UK car production, were hit by declining demand in the European Union and China, though sales to the US rose by 38.5%.
The Society of Motor Manufacturers and Traders (SMMT) warns that the BEV sales quotas and associated penalties are creating market distortions and higher prices.
Industry forecasts predict production may recover to over 1 million units by 2028, supported by £25 billion in recent investments and new electric models.