UK car and engine exports drop significantly as car industry gears up for 'strong year'

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Home Finance Reviews Under The Hood Motorsport Business Profiles Archive Related Tags: UK Car Sales, UK Car Manufacturing, Ford Fiesta, Exports, Ford Focus, Engine Export, Commercial Vehicle, SMMT, SMMT January, HGV, under the hood UK car and engine exports drop significantly as car industry gears up for 'strong year' By: Danny Hewitt Ref:A00109 Published: 21 February 2013 THE NUMBER of UK-built cars made in January increased by 1,499 compared to the same period last year - a modest increase of only 1.2 per cent to 129,049."Output is typically subdued in January as manufacturers extend holiday periods to upgrade plants and re-tool for new models," explained Mike Baunton, SMMT Interim Chief Executive. "Despite ongoing economic challenges, growing demand for UK-built products in emerging global markets coupled with major new investment is paving the way for a positive year for automotive manufacturing." Ford Focus

The Ford Fiesta was once again a big hit, unsurprisingly being January's number one bestseller with 7,906 people snapping up the small car after Christmas.While 83.4 per cent of these cars were sent abroad last year, the figure is only 79.1 per cent this year. But independent analysts have said overall car output could grow up to one third larger by 2016 to in excess of two million vehicles annually. Ford Focus

The Nissan Qashqai was a runaway success at number five with 4,280 sales. Ford Focus

The Nissan Juke proved quirky enough for a New Year's present. Dealerships parted ways with 2,522. Ford Focus

With an increasing number of more affluent people in the UK, the tenth bestselling car was the Mercedes C-Class, with 2,356 new owners in January. Meanwhile, commercial vehicles continue to suffer, with only 7,822 produced in January compared to 9,844 last year, a staggering drop of 20.5 per cent so it should come as no surprise if manufacturers and suppliers have a gloomy look on their faces at The Commercial Vehicle Show in Birmingham this April. From lightweight vans to heavy trucks, minibuses and luxury coaches, commercial vehicles make a big impact on the UK economy. "UK registrations of trucks were strong through most of 2012, but dropped off in the final quarter impacting output," Mr Baunton said. "Domestic demand for buses and coaches grew significantly through 2012 on the back of government incentives and a wider focus on public transport." Ford Focus

As expected, with vehicle output low throughout Europe in January, the number of engines also dropped from 231,525 last year to 219,757 - a drop of 11,768. Despite this, it is expected to grow significantly over the spring, after the Geneva Motor Show, which will showcase a significant number of new car models and concepts. EXPORTS: Of the UK-built engines produced in January last year, 63.9 per cent were made for export compared to 60.8 per cent last month, a depressing sign for the government at a crucial time when the country is attempting to grow its weak economy. And if that was not gloomy enough, van, truck and coach builders who rely on exports will be hiding behind closed doors today, with 37.2 fewer exported commercial vehicles compared to last year: 3,626 (46.4 per cent of total commercial vehicles built) compared to 5,778 (58.7 per cent of commercial vehicles built) in 2012. Ford Focus

With a drop of 12.3 per cent in exports, cash flow is at an all-time low for some commercial vehicle makers which could lead to an increase in the number of loans some manufacturers and distributors use to stay afloat. Meanwhile, the number built for the UK market increased slightly to 4,196 from 4,066. And while HGV giant Volvo took a huge hit in Europe and the UK last month due to a 'sluggish economic environment', their sales in Brazil increased by 46 per cent, suggesting it could become a positive growth market for UK exports in the future. "The increase in industrial activity combined with favourable financing rates contributed to an uptick in the Brazilian market," explained a Volvo Trucks spokeswoman. Ford Focus

Female HGV drivers are becoming a more common sight. But despite the gigantic drops, the industry is gearing up for a strong year, bringing in an array of new innovations and more models with emissions below 100g/km. Related Articles // More Like This dummy

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