British car manufacturing falls for tenth straight month

There were 126,195 vehicles built in March according to figures released today by the Society of Motor Manufacturers and Traders (SMMT). Output for export fell 13.4 per cent as soft demand in Asian and European markets continued. Manufacturing for the home market dropped 18.1 per cent, with overall first quarter activity the weakest since 2011. A production forecast published this week said following a Brexit deal with a transition period, UK car production could be 1.36m vehicles in 2019, down from 1.52m in 2018, before rising to 1.42m by 2021.
However, if the Uk crashes out of the EU and falls back on World Trade Organisation rules, output is forecast to fall around 30 per cent to 1.07m units, consistent with production levels in the mid-1980s. Mike Hawes, SMMT chief executive, said, Despite the extension, the Brexit clock is still ticking and a devastating no deal remains a threat.