In line with a precipitous drop in new car production in the UK, engine production also slumped in July. Factories made 127,922 engines, a decline of 27.5% compared with the same month in 2020.
The SMMT (Society of Motor Manufacturers and Traders) noted that the fall in output was artificially heightened in comparison with last year, when engine production was recovering volumes lost due to the pandemic. Over the year-to-date, engine manufacturing has increased by 6.8% to 1,058,792 units but remains 31.6% lower than the five-year average.
Mike Hawes, SMMT chief executive, commented, “The decline in engine production in July must be looked at in context against the same month in 2020, which saw production artificially inflated as the sector looked to recover lost units due to the pandemic. It is unsurprising that the number of engines produced so far this year remains below the five-year average, with the global shortage of semiconductors continuing to impact the ability of manufacturers to produce vehicles, leading to a fall in demand for engines. Government must show its support for UK automotive by introducing measures to support production during these Covid-related stoppages and boost industry competitiveness.”
