Car production falls 5.3% as domestic and overseas demand weakens

Updated

Car production fell in August amid a decline in domestic and overseas demand, new research shows.

A total of 103,232 vehicles were built, 5.3% fewer than in the same month last year, said the Society of Motor Manufacturers and Traders (SMMT).

Production for the domestic market dropped 4.4% to 26,594 cars while output for overseas customers was down 5.6% to 76,638.

Just over 1,106,200 vehicles have been produced in the first eight months of the year, a decline of 1.9%. The domestic market for production has been down in seven out of eight months.

Mike Hawes, SMMT chief executive, said: "It's common to see fluctuations during the summer months, as output varies according to the timing and duration of holiday factory shutdowns.

"However, the continuation of the longer term downward trend in domestic demand is a concern for production across the UK so it is vital for the future health of this sector that the current uncertainty around Brexit is removed and consumer and business confidence restored."

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