In the first half of 2024, UK commercial vehicle manufacturing fell by 2.9% to 56,956 units but remains a third above the pre-pandemic average. Export demand rose by 3.6%, with 70% of vehicles shipped overseas, while domestic production dropped by 14.8%. An independent outlook projects 111,000 light vans will be produced this year, as the sector aims to work with the new government on an automotive-focused industrial strategy.
UK CV Manufacturing Drops 2.9% in First Half of 2024, SMMT Reports High Overall Levels
UK commercial vehicle (CV) manufacturing fell -2.9% in the first six months of the year as 56,956 vans, trucks, taxis, buses, and coaches left factory gates, according to the latest figures published today by the Society of Motor Manufacturers and Traders (SMMT). Despite the year-on-year decline, wrapped up by a -2.0% drop in output in June as temporary supply chain constraints impacted production, overall levels remain high given last year’s bumper first half and fulfilment of post-COVID delivery backlogs.
Year-to-date output remains almost a third (31.3%) higher than the pre-pandemic five-year average, thanks to investment in new plants, models, and technologies and robust export demand.2 Overseas shipments of UK-built CVs – many of them zero-emission – were 3.6% up in the first half at 39,168 units, equivalent to more than two-thirds of all output, with the EU taking the lion’s share (97.2%), followed by Australia (1.2%) and the US (0.5%). This growth was, however, unable to offset a -14.8% decline in the domestic market.
Mike Hawes, SMMT Chief Executive, said, “While a decline in output is always disappointing, some normalisation following the CV sector’s rapid post-pandemic recovery was expected. The sector remains in good health with strong global demand for high-quality British-built CVs and plants ramping up EV production to meet current and future needs. However, the sector will not rest on its laurels and will work with the new government to deliver the favourable industrial, trade, and market conditions that are essential if manufacturers are to drive economic growth and decarbonisation in every part of the country.”
SMMT Reports: UK Light CV Production Forecast to Hit 110,000 Units in 2024, Set for Further Growth
The news comes as the latest independent industry outlook forecasts light CV production to grow to some 110,000 units this year. Volumes are then expected to go above 130,000 in 2030, providing economic and trading conditions allow.3
The UK already has a reputation as a major player in automotive production with one of the most diverse product bases in the world – including everything from mass-market cars to vans, trucks, buses, and specialist and luxury vehicles exported globally. As a result, automotive is ideally placed to deliver economic growth in the short and long term. SMMT welcomes the commitments already made by the new government and looks forward to working with policymakers to create a dedicated industrial strategy that fosters competitiveness through investment in skills, clean, affordable energy, free and fair trade, vibrant markets, and a fair EV transition for all.
