Wed, 23 Jul 2025

Wed, 23 Jul 2025 UK vehicle making hits lowest level since 1953

Data shows a slump in car and van production as the industry trade body hopes a UK-US tariff deal will bring "confidence".

* British car and van production has hit its lowest level since 1953, excluding the Covid industry shutdown.
* Car output fell by 7.3% in the first half of this year, while van production dropped 45%.
* Uncertainty over US tariffs was a major factor, but a deal to reduce tariffs from 27.5% to 10% may boost confidence.
* The government's electric vehicle grants were welcomed, but clarity is needed on which vehicles will qualify.
* Production of electrified vehicles rose by 1.8%, with battery and hybrid vehicles accounting for over two in five produced vehicles.
* The industry aims to produce 1.3 million vehicles per year by 2035, but the SMMT doubts whether this target can be met without new entrants to the market.
* Grants of up to £3,750 on some EVs will be reintroduced from next month, but there is confusion over which models and brands will qualify.
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