UK car production declines as energy costs rise

Car production in the UK has continued to fall as manufacturers struggle with global supply chain problems.

UK energy prices risk deterring car industry investors, warns trade body |  Financial Times


In the first three months of 2022, nearly 100,000 fewer vehicles were produced in the first three months of 2022 compared to the previous year.Production fell by nearly a third, according to the Association of Motor

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Vehicle Manufacturers and Traders (SMMT).SMMT has linked the declines to global computer chip shortages and rising energy costs for manufacturers.

'Urgent action is needed'

SMMT Chief Executive Mike Hawes said two years after the start of the pandemic. automotive manufacturing "Still having bad problems"The recovery hasn't started yet. and with the increasingly difficult economic environment

This includes rising energy costs. Urgent action is needed to protect the competitiveness of UK manufacturing,” Hawes continued.We want the UK to lead the transition to electric vehicles. Not just as a market but as a manufacturer Therefore,

action is urgently needed. If we are to protect jobs and careers,Chris Knight, automotive partner at consulting firm KPMG, said of the figure: Component and material challenges persist. by the problems caused by the pandemic now "Added from the conflict in Ukraine