Latest news with #carproduction
Auto Express
3 days ago
- Automotive
- Auto Express
UK car production hits lowest point in more than 70 years
Car production in the UK fell to its lowest level in more than 70 years last month, with experts citing the impact of Trump tariffs as well as the Easter break – and warning that the UK car industry is in a 'low-volume crisis'. April saw just 59,203 new cars built in the UK, which represents a 16 per cent drop compared with the same month last year. It's also the lowest April output figure since 1952, with the exception of 2020 due to the Covid-19 lockdown, in which production was effectively halted. Advertisement - Article continues below With April's production figures also a quarter down on March, the Society of Motor Manufacturers and Traders (SMMT) pointed to the Easter break, as well as production changeovers which saw pauses in output. SMMT chief executive Mike Hawes described the past few months as the 'toughest start to the year since 2009', stating that 'urgent action is needed to boost domestic demand and our international competitiveness'. Hawes continued: 'To take advantage of these trading opportunities we must secure additional investment, which will depend on the competitiveness and confidence that can be provided by a comprehensive and innovative long-term industrial strategy. Get this right and the jobs, economic growth and decarbonisation will flow across the UK.' However, it's important not to downplay the impact of US President Donald Trump's sweeping tariffs on automotive imports when discussing the UK's production figures; exports to America fell by just over 10 per cent last month. Professor of Business Economics at the University of Birmingham, David Bailey, told Auto Express that the UK car industry is in 'a low- volume crisis, operating well below capacity and hence with higher cost'. Bailey stated: 'The UK industry is not alone in the pressures it faces, but the Trump tariffs have had a particular impact on [the] UK auto [sector], given the success of British premium and luxury brands in selling into the US.' The solution to all this? Bailey called on the Government to publish and set out its delayed industrial strategy 'sooner rather than later'. He said: 'It's vital to help advanced manufacturing – and automotive – on a range of issues like attracting investment into making EVs, rebuilding the supply chain (including for batteries), retraining and reskilling workers and cutting energy costs.' Come and join our WhatsApp channel for the latest car news and reviews...
Car and Driver
3 days ago
- Automotive
- Car and Driver
Report: Nissan Stops Production of the Manual-Transmission Versa
Nissan has halted production of the manual-transmission Versa, according to a report from Automotive News. The Versa five-speed is the most affordable car on sale in the U.S. for the 2025 model year, starting at just $18,330. Fewer than 5 percent of Versas sold last year had the manual gearbox, and the 25 percent tariff on the Mexico-made sedan seems to have been the final nail in the coffin. UPDATE 5/29/25, 1:27 p.m.: Nissan confirmed that production of the manual-transmission Versa S has ended, and that production continues for the rest of the Versa lineup. In a statement, Nissan said, "We are focusing on the most popular Versa grades that deliver the strongest business performance and are in line with what customers are looking for from this type of sedan." Manual transmissions are increasingly rare in new cars, having mostly found refuge in high-performance sports cars such as the Porsche 911 or Cadillac CT5-V Blackwing. Just a handful of affordable, mainstream models still let you row your own gears, and the five-speed-equipped Nissan Versa also held the special distinction of being the most affordable new car on the market. But now it appears that the manual-transmission Versa's time has come to an end, with Automotive News reporting that production of the Versa five-speed has stopped. The publication stated that a "person with knowledge of the matter" revealed that Nissan's factory in Aguascalientes, Mexico, is no longer assembling the manual-transmission Versa, although the CVT-equipped model continues in production. According to Automotive News, Nissan says the company is focusing on the "most popular" trims that have the "strongest business performance." We've reached out to Nissan for confirmation and will update this story when we've heard back. Nissan The reasons for killing off the Versa five-speed are likely twofold. For starters, very few people were opting for the Versa's DIY gearbox. Automotive News states that fewer than 5 percent of the 42,589 Versas sold last year had the five-speed transmission. That means only around 2000 Versas sold last year had the manual gearbox, already making it hard to justify keeping it around. But this tough business case for such a niche product was compounded by the 25 percent tariff on imported cars implemented by the Trump administration, which affects the Versa given its Mexican provenance. The manual-transmission Versa is the lowest-priced new car on the market for the 2025 model year, starting at $18,330, so a 25 percent tariff adds around $4500 to that price. While automakers might be able to absorb tariff costs on higher-priced vehicles while still returning a profit, the typically thin profit margins on affordable cars make such an increase far more damaging. Nissan previously projected that the tariffs could cost the automaker around $3.1 billion during the fiscal year that concludes next March. Nissan Removing the manual transmission will minimally affect sales while also simplifying the number of variants the Aguascalientes factory needs to produce, making the production process more efficient. While it's a shame to see another manual bite the dust, it's an understandable decision from Nissan, especially given the brand's recent financial troubles. With the manual transmission departing, the Versa will remain the most affordable car on the market, but its base price will likely rise to $20,130. But the Versa itself is not long for this world, expected to be discontinued within the next year as Nissan pares its sedan lineup from three models down to one. A next-generation Sentra is expected to grow in size to serve as a replacement for both the current Sentra and Altima, while the potential Versa customers will instead be directed to the $23,220 Kicks SUV. Caleb Miller Associate News Editor Caleb Miller began blogging about cars at 13 years old, and he realized his dream of writing for a car magazine after graduating from Carnegie Mellon University and joining the Car and Driver team. He loves quirky and obscure autos, aiming to one day own something bizarre like a Nissan S-Cargo, and is an avid motorsports fan.
Daily Mail
4 days ago
- Automotive
- Daily Mail
Car factories in the UK record lowest output in over 70 years
Car production took a hefty hit last month hitting a 70-year low. Just 59,203 vehicles were made in April as car and commercial vehicle production fell by 15 per cent, the latest figures from the Society of Motor Manufacturers and Traders (SMMT) show. The number of cars rolling off UK assembly lines dropped by 8.6 per cent, while the output of vans and commercial vehicles slumped by a massive 68.8 per cent, marking the lowest April since 1952 - the year Elizabeth II became Queen. The SMMT is hoping that new trade deals with the EU, US and India will provide opportunities for future growth, but chief executive Mike Hawes is pushing for 'additional investment' such as the reported £41million Toyota will spend building its GR Corolla hot hatch in Derbyshire. April's slump of 16 per cent compared to the same month last year, and the 25 per cent drop on March when numbers were helped by an increase in shipments to the US before Trump's tariffs took effect, cap off the sector's lowest start to a year since 2009. Critically, car export production fell by 10.1 per cent, caused by falls in demand to Britain's best markets, the EU and US. Exports to the EU fell 19.1 per cent, while US exports fell by 2.7 per cent, although the EU still took more than half of all exports while the US received 16.5 per cent. Conversely, exports to China and Turkey rose by 44 per cent and 31.2 per cent respectively. There were fewer production days in the month due to Easter falling between 18 and 20 of the month, which reduced April's output compared to the rise in output in March, the SMMT said. Amid economic uncertainty and rapidly changing global trading conditions, the SMMT has stressed the need for the government's eagerly awaited industrial strategy to 'contain measures that boost the competitiveness of Britain's most valuable export sector'. April 1952 was the last time motor outputs were that low - that year, 53,517 vehicles were produced. Mike Hawes, SMMT chief executive, said: 'With automotive manufacturing experiencing its toughest start to the year since 2009, urgent action is needed to boost domestic demand and our international competitiveness. 'To take advantage of these trading opportunities we must secure additional investment which will depend on the competitiveness and confidence that can be provided by a comprehensive and innovative long-term industrial strategy.' However, industry sources have reason to be optimistic with some new investment in UK car manufacturing announced recently. This is Money reported yesterday that Toyota is looking to invest £41million building the GR Corolla hot hatch at its Burnaston plant in Derbyshire to capatilise on the sizeable market in the US and reduce wait times to its North American customers. It's also a sign of Britain's attractiveness to firms as the UK-US trade deal – the US has reduced tariffs from 25 per cent to 10 per cent for up to 100,000 UK-made cars per year - makes the UK a desirable place to set up factories and 'act as a bridge between the US and EU'. Struggling car maker Nissan recently confirmed that its new Leaf and Juke EVs will be built at its Sunderland plant before the end of next year, a positive sign for the future of the UK's biggest car factory which employs around 6,000 people. The Government followed with an announced that it will give a £1billion loan to Nissan to secure jobs as the Japanese manufacturer embarks on a £1.3bn cost-saving plan which will see seven plants close globally and 20,000 jobs culled.
Daily Mail
4 days ago
- Automotive
- Daily Mail
Car factories in the UK record lowest output in over 70 years - why did production plunge in April?
Car production took a hefty hit last month hitting a 70-year low. Just 59,203 vehicles were made in April as car and commercial vehicle production fell by 15 per cent, the latest figures from the Society of Motor Manufacturers and Traders (SMMT) show. The number of cars rolling off UK assembly lines dropped by 8.6 per cent, while the output of vans and commercial vehicles slumped by a massive 68.8 per cent, marking the lowest April since 1952 - the year Elizabeth II became Queen. Only in 2020, when the first Covid lockdown effectively shuttered car factories, has output been lower. April's decline has been driven by a number of factors including Easter falling later this year, model changeovers as the switch to electric driving ramps up, and a drop in demand in key export markets as tariff fears weighed heavy. The SMMT is hoping that new trade deals with the EU, US and India will provide opportunities for future growth, but chief executive Mike Hawes is pushing for 'additional investment' such as the reported £41million Toyota will spend building its GR Corolla hot hatch in Derbyshire. April's slump of 16 per cent compared to the same month last year, and the 25 per cent drop on March when numbers were helped by an increase in shipments to the US before Trump's tariffs took effect, cap off the sector's lowest start to a year since 2009. Critically, car export production fell by 10.1 per cent, caused by falls in demand to Britain's best markets, the EU and US. Exports to the EU fell 19.1 per cent, while US exports fell by 2.7 per cent, although the EU still took more than half of all exports while the US received 16.5 per cent. Conversely, exports to China and Turkey rose by 44 per cent and 31.2 per cent respectively. There were fewer production days in the month due to Easter falling between 18 and 20 of the month, which reduced April's output compared to the rise in output in March, the SMMT said. Amid economic uncertainty and rapidly changing global trading conditions, the SMMT has stressed the need for the government's eagerly awaited industrial strategy to 'contain measures that boost the competitiveness of Britain's most valuable export sector'. April's low figures have been put down to Easter falling late meaning there were less production days in the month and trade issues as Trump's tariffs came into play April 1952 was the last time motor outputs were that low - that year, 53,517 vehicles were produced. Mike Hawes, SMMT chief executive, said: 'With automotive manufacturing experiencing its toughest start to the year since 2009, urgent action is needed to boost domestic demand and our international competitiveness. 'To take advantage of these trading opportunities we must secure additional investment which will depend on the competitiveness and confidence that can be provided by a comprehensive and innovative long-term industrial strategy.' However, industry sources have reason to be optimistic with some new investment in UK car manufacturing announced recently. This is Money reported yesterday that Toyota is looking to invest £41million building the GR Corolla hot hatch at its Burnaston plant in Derbyshire to capatilise on the sizeable market in the US and reduce wait times to its North American customers. It's also a sign of Britain's attractiveness to firms as the UK-US trade deal – the US has reduced tariffs from 25 per cent to 10 per cent for up to 100,000 UK-made cars per year - makes the UK a desirable place to set up factories and 'act as a bridge between the US and EU'. Struggling car maker Nissan recently confirmed that its new Leaf and Juke EVs will be built at its Sunderland plant before the end of next year, a positive sign for the future of the UK's biggest car factory which employs around 6,000 people. The Government followed with an announced that it will give a £1billion loan to Nissan to secure jobs as the Japanese manufacturer embarks on a £1.3bn cost-saving plan which will see seven plants close globally and 20,000 jobs culled.
Yahoo
4 days ago
- Automotive
- Yahoo
UK vehicle output down 16% in April
UK car and commercial vehicle production fell by 15.8% to 59,203 units in April, according to the latest figures published by the Society of Motor Manufacturers and Traders (SMMT). Vehicle output fell to the lowest level for the month since 1952, excluding 2020 when the first Covid lockdown effectively saw manufacturing cease. The result caps off the sector's lowest start to the year since 2009. The SMMT said April's decline in car output was driven by a combination of factors, notably the later timing of Easter – which saw fewer production days in the month (and hence a factor behind the comparative rise in output in March) – as well as model changeovers and lower demand in key export markets. As a result, car production fell 8.6% to 56,534 units. Commercial vehicle output also declined, by 68.6% to 2,669 units, driven primarily by a plant closure and normalising demand for new heavy goods vehicles (HGVs) following robust post-pandemic growth. Car production for export fell 10.1%, while production for the domestic market – always a smaller proportion of volumes – also decreased, by 3.3%. Shipments to the UK's two largest global markets, the EU and US, fell by 19.1% and 2.7% respectively, although the EU still took more than half of all exports while the US received 16.5%. Conversely, exports to China and Turkey rose by 44.0% and 31.2% respectively. Commercial vehicle export volumes, meanwhile, fell sharply by 75.8% with just over half (50.7%) of output heading overseas. The decline was driven by a 78.9% drop in shipments to the EU, but the bloc retained the lion's share of exports at 84.9%. CV output for the domestic market also softened, down by 54.6%. The SMMT noted that production is being 'constrained by economic uncertainty and rapidly changing global trading conditions' and said the UK industry 'awaits publication of government's industrial strategy, which must contain measures that boost the competitiveness of Britain's most valuable export sector'. It said a strategy with automotive and advanced manufacturing at its heart will enable the sector to take advantage of the UK's new trading arrangements, including those agreed with the EU and US – while exploring possibilities for growth in other markets, notably India, delivering economic benefits across the UK. Mike Hawes, SMMT Chief Executive, said: 'With automotive manufacturing experiencing its toughest start to the year since 2009, urgent action is needed to boost domestic demand and our international competitiveness. Government has recognised automotive manufacturing's critical role in driving the UK economy, having successfully negotiated improved trading conditions for the sector with the US, EU and India in the space of a month. 'To take advantage of these trading opportunities we must secure additional investment which will depend on the competitiveness and confidence that can be provided by a comprehensive and innovative long-term industrial strategy. Get this right and the jobs, economic growth and decarbonisation will flow across the UK.' "UK vehicle output down 16% in April" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
