UK car production hits lowest level in seven decades amid industry challenges

UK car production fell to its lowest level in nearly 70 years in 2024, as the industry struggles with weak demand and transitions to electric vehicles, with further disruptions expected if tariffs are imposed by the U.S.

Car production in the United Kingdom reached its lowest level in nearly seven decades in 2024, excluding the impact of the COVID-19 pandemic. The decline comes as the industry grapples with weak demand and prepares to transition from fossil fuels to electric vehicles.

According to the Society of Motor Manufacturers and Traders (SMMT), the number of cars produced in the UK dropped to 780,000, marking the lowest output since 1954.

SMMT Chief Executive Mike Hawes noted that the downturn was partly due to factory shutdowns as manufacturers shifted to electric vehicle production. However, he also pointed out that the sector continues to struggle with global demand and slower-than-expected growth in electric vehicle sales.

In a competitive global market, the UK is facing challenges in maintaining its position as a major car manufacturer. British carmakers are bracing for further disruptions, particularly if President Donald Trump imposes tariffs on imports from the UK’s second-largest market.

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