Test driving an Ora FunkyCat EV in London on Tuesday, Oct. 24, 2023. (Photo: Jose Sarmento Matos/Bloomberg) Car manufacturers assembled 1.03 million cars and commercial vehicles last year, 17% more than in 2022, the Society of Motor Manufacturers and Traders said on Thursday. The outlook for the industry brightened throughout the year, with Nissan Motor Co., BMW AG’s Mini and Jaguar Land Rover parent Tata Motors Ltd. announcing EV and battery investments.
The UK is now “back in the game” after years of being almost “uninvestable”, Mike Hawes, the SMMT’s chief executive officer, told reporters.
“From the Brexit referendum, we had four years of negotiation, uncertainty, you didn’t know what your trade costs were going to be. It’s hard to compel investment then,” Hawes said. More recently, the UK struggled with political instability and economic uncertainty. “That has now been relieved,” the trade group chief added.
Hawes cautioned that the UK is still playing catch-up with respect to battery factory investment, despite securing commitments from Nissan and Tata last year. Chinese manufacturers are the likeliest candidates to enter the market as new producers, he said.
Nissan accounted for more than a third of the UK’s car production, making 36% more vehicles than the year before. The Japanese manufacturer assembles Qashqai and Juke sport utility vehicles and Leaf EVs in Sunderland.
JLR increased production 18% to 238,422 vehicles, while Mini’s output dipped 0.7% to 184,996.