Latest news with #vehiclemanufacturing
Yahoo
24-07-2025
- Automotive
- Yahoo
UK vehicle production declines in H1 2025
New vehicle manufacturing in the UK saw a decrease of 11.9% in the first half of 2025, with total production reaching 417,232 units, according to the latest figures published by the Society of Motor Manufacturers and Traders (SMMT). A slight recovery was noted in June, where car production increased by 6.6%, although this was compared to a period last year that faced challenges such as model changeovers and supply chain disruptions. Switch Auto Insurance and Save Today! The Insurance Savings You Expect Affordable Auto Insurance, Customized for You Great Rates and Award-Winning Service Overall, car output for the year to date has fallen by 7.3%, with 385,810 cars produced. The commercial vehicle sector experienced a more severe decline, with production dropping by 45.4% to 31,422 units due to restructuring efforts at manufacturing plants. In contrast, the production of electrified vehicles saw a modest rise of 1.8%, resulting in 160,107 units produced, which accounted for 41.5% of total output in the first half of the year. The UK automotive industry remains focused on exports, with 76.9% of production intended for international markets, the report said. The European Union is the largest destination for UK car exports, making up 54.4% of the total, followed by the US at 15.9%, China at 7.5%, Turkey at 4.1%, and Japan at 2.7%. These five markets together represent over 80% of the UK's overseas sales. Despite a decline in export volumes over the past three months, culminating in an 18.7% drop in June, the US continues to be the largest single export market for UK vehicles, highlighting the significance of the recent UK-US trade agreement, which provides reduced tariffs for UK automotive exports. Looking forward, the global economic environment remains uncertain, with projections indicating a 15% decrease in total vehicle output to 755,000 units for 2025. However, a potential recovery is anticipated in 2026, with a forecasted increase of 6.4% bringing production to 803,000 units. The report suggests that the swift implementation of the new industrial strategy could enhance the UK's competitiveness in the automotive sector, potentially restoring its position among the top 15 global auto manufacturing locations and contributing an estimated £50bn to the economy. Additionally, the government's automotive sector strategy, DRIVE35, outlines initiatives aimed at supporting the industry's economic and environmental objectives. The introduction of the Electric Car Grant, which allocates £650m for electric vehicle incentives, may also stimulate the domestic market and improve the UK's attractiveness for industrial investment. SMMT chief executive Mike Hawes said: 'Global economic uncertainty and trade protectionism have taken their toll on automotive production across the globe, with the UK no exception. The figures are not, therefore, unexpected but remain very disappointing. 'However, there are foundations for a return to growth. The industry is moving to the technologies that will be the future of mobility. Our engineering excellence, highly-skilled workforce and global reputation are strengths, and we have an Industrial Strategy with advanced manufacturing and automotive at its core. "With rapid delivery and the right conditions, UK Automotive can reverse the current decline and deliver the jobs, economic growth and decarbonisation that Britain needs.' "UK vehicle production declines in H1 2025" was originally created and published by Motor Finance Online, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Yahoo
24-07-2025
- Automotive
- Yahoo
UK vehicle production falls again
UK vehicle manufacturing was down 11.9% in first half amid global trade disruption and economic uncertainty. UK new vehicle manufacturing declined by 11.9% to 417,232 units in the first six months of the year, according to figures published today by the Society of Motor Manufacturers and Traders (SMMT). However, the decline was softened by a 6.6% increase in car production in June, although this was in comparison with last year when model changeovers and supply chain issues depleted output. As a result, year-to-date car output declined by 7.3% as 385,810 cars rolled off factory lines. Restructuring at commercial vehicle production plants, meanwhile (Luton Stellantis/Vauxhall closure), resulted in a first-half volume fall of 45.4% to 31,422 units. While overall output fell, electrified car production rose by 1.8% to 160,107 units – delivering a record share of output for the first half of the year, with hybrid, plug-in hybrid and battery electric vehicles accounting for more than two in five (41.5%) units produced in the UK in 2025. Switch Auto Insurance and Save Today! Affordable Auto Insurance, Customized for You The Insurance Savings You Expect Great Rates and Award-Winning Service UK car production remains export-focused, with some 76.9% of output headed overseas year-to-date and greater certainty now returning to key markets. The EU remains the main destination for UK car exports (54.4% share), followed by the US (15.9%) China (7.5%), Turkey (4.1%) and Japan (2.7%), with these five destinations alone accounting for more than eight in 10 overseas sales. Despite three straight months of declining export volumes culminating in an -18.7% drop in June, the US maintained its position as the UK's biggest single export market underscoring the importance of the UK-US trade deal. The SMMT said that deal, which came into force on 30 June, gives the UK reduced tariff rates into the US automotive market, which can become a basis for future growth. Mike Hawes, SMMT Chief Executive, said: 'Global economic uncertainty and trade protectionism have taken their toll on automotive production across the globe, with the UK no exception. 'The figures are not, therefore, unexpected but remain very disappointing. However, there are foundations for a return to growth. The industry is moving to the technologies that will be the future of mobility, our engineering excellence, highly-skilled workforce and global reputation are strengths, and we have an Industrial Strategy with advanced manufacturing and automotive at its core. 'With rapid delivery and the right conditions, UK Automotive can reverse the current decline and deliver the jobs, economic growth and decarbonisation that Britain needs.' "UK vehicle production falls again" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Yahoo
24-07-2025
- Automotive
- Yahoo
UK car vehicle production falls amid global economic and trade uncertainty
UK vehicle manufacturing fell in the first half of the year as the sector continued to grapple with global economic and trade uncertainty. British car output fell 7.3% in the first six months of the year, while van and other commercial vehicle production plummeted by 45.4%, according to data from the Society of Motor Manufacturers and Traders (SMMT). According to the organisation, production was slowed or halted by some manufacturers due to uncertainty around the global economy and earlier threats of US tariffs. However, the SMMT said a new trade deal struck between Prime Minister Sir Keir Starmer and US President Donald Trump would become a 'basis for future growth'. SMMT chief executive Mike Hawes said the numbers were 'very disappointing'. 'Global economic uncertainty and trade protectionism have taken their toll on automotive production across the globe, with the UK no exception,' he said. 'The figures are not, therefore, unexpected but remain very disappointing. However, there are foundations for a return to growth.' While overall car production declined, the number of electric cars made in the UK rose by 1.8%, with EVs now making up a record 41.5% of all cars produced in the UK in the first half of 2025. 'The industry is moving to the technologies that will be the future of mobility, our engineering excellence, highly-skilled workforce and global reputation are strengths, and we have an Industrial Strategy with advanced manufacturing and automotive at its core,' Mr Hawes said. 'With rapid delivery and the right conditions, UK Automotive can reverse the current decline and deliver the jobs, economic growth and decarbonisation that Britain needs.' Grants for new electric cars are being reintroduced after being scrapped in June 2022, the Department for Transport (DfT) announced recently. Drivers will be able to reduce the purchase cost of a new electric car by up to £3,750. Officials hope the measure – restricted to vehicles priced at up to £37,000 – will encourage more drivers to switch to electric motoring. The DfT said 33 new electric car models are available for less than £30,000. The Government has pledged to ban the sale of new fully petrol or diesel cars and vans from 2030. Transport Secretary Heidi Alexander said: 'This EV grant will not only allow people to keep more of their hard-earned money – it'll help our automotive sector seize one of the biggest opportunities of the 21st century.' Sign in to access your portfolio
Zawya
27-06-2025
- Automotive
- Zawya
Petromin and Foton to establish joint commercial vehicle manufacturing plant in Saudi Arabia
Saudi Arabia - As part of the Kingdom's Vision 2030 ongoing efforts to strengthen its industrial sector and localize high-value manufacturing, Petromin Corporation, Foton, the Ministry of Investment, and the National Industrial Development Center signed a four-party memorandum of understanding (MoU) to explore the establishment of an integrated commercial vehicle manufacturing plant in Saudi Arabia. The initiative aims to develop local capabilities in manufacturing and logistics, strengthen supply chains, and increase localization rates in the vehicle sector. The scope of production will include heavy-duty trucks, light-duty trucks, and buses. Amr Al-Dabbagh, Chairman and CEO of Al-Dabbagh Group, commented: "This step aligns with our ambitions to promote a diversified economy based on industry and technology. We take pride in this partnership with Foton, who are number 1 in the Chinese commercial vehicle market. This partnership acts as a strong catalyst to deliver high-quality commercial vehicles that meet market expectations and support achieving Vision 2030 objectives." Chang Rui, Chairman of BAIC Foton, added: "We are proud of our partnership with Petromin to localize commercial vehicle manufacturing. Through this collaboration, we aim to transfer advanced technology to the Saudi market and provide innovative and sustainable mobility solutions benefiting businesses and consumers alike." The project is backed by the Ministry of Industry and Mineral Resources, the Ministry of Investment, the National Industrial Development Center, the Saudi Industrial Development Fund, and the Local Content and Government Procurement Authority. It is expected to create job opportunities for national talent, support the growth of small and medium-sized enterprises, and contribute to the Kingdom's shift toward a sustainable, advanced industrial economy. With its rich history and expertise in the automotive industry, Petromin is a leading provider of comprehensive automotive solutions in the Middle East. The company is committed to fostering innovation within the community and ensuring customer satisfaction through high-quality products and services. Foton, the number 1 commercial vehicle manufacturer in China, has established a global presence in the industry. It focuses on producing high-quality commercial vehicles through strategic partnerships with leading industry manufacturers such as Daimler (Mercedes-Benz), ZF Transmission, Cummins Engines, and others. Its partnership with Petromin provides a unique opportunity to enhance its presence in the Saudi market, leveraging Petromin's local expertise and market presence. © Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (
Argaam
21-06-2025
- Automotive
- Argaam
China's Foton mulls commercial vehicle plant in Saudi Arabia
The Ministry of Investment signed a four-party memorandum of understanding (MoU) with the Industrial Center, China's Foton Motor, and Petromin to explore the establishment of an integrated commercial vehicle manufacturing plant in Saudi Arabia. In a post on its official account on X, the ministry said the agreement aims to enhance the localization of vehicle manufacturing and to enhance local content in the sector.
