Huge rise in car production sees sector continue to buck trend

ALMOST 120,000 cars were built in the UK in July, a rise of 22 per cent over the same time a year ago, and the 13th consecutive monthly increase in production, new figures showed yesterday.

A total of 119,882 cars were produced in UK factories last month, taking the year-to-date total to 875,998, an increase of 15 per cent.

There were 9,004 commercial vehicles built, down by 1.3 per cent on a year ago, and 180,109 engines, 1.9 per cent fewer than in July 2011.

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Paul Everitt, chief executive of the Society of Motor Manufacturers and Traders, said: “Car manufacturing continued to perform well, with output up more than 22 per cent for the month and 15 per cent for the year to date.

“While uncertainty in Europe remains a challenge, the £6bn investment committed to the UK in the last two years delivers long-term growth opportunities and the latest figures show that our products have enormous global appeal.”

Commercial vehicle production was down 7.7 per cent for the first seven months of the year, while engine production was up 0.3 per cent.

Car production has shown some huge increases this year. There was a 23 per cent increase in February compared to the same month last year, while in May it rose more than 40 per cent, mainly due to a fall in manufacturing last year as a result of the Japanese earthquake. Almost 80 per cent of cars built in the UK are exported, the figures showed.

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The Unite union’s assistant general secretary, Tony Burke, said: “Britain’s car industry is continuing to buck the trend being set by an unsupported manufacturing industry. The month-on-month increase in output is proof that investment works and that, when skilled UK manufacturing workers get the opportunity, they deliver world-class products. The Government needs to learn lessons from the automotive industry and urgently begin an active and interventionist strategy to support UK manufacturing.”

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