UK car production falls in July as demand eases
UK car production falls in July as demand eases
Reduced demand for cars across Europe has contributed to a recent drop in car production, new figures have revealed.
According to the Society of Motor Manufacturers and Traders (SMMT), car and engine production dropped during July 2010.
This is the first time this has happened since October 2009.
Paul Everitt, chief executive of SMMT, said this easing of demand had been anticipated, as many scrappage incentive schemes in various European markets have come to an end.
However, he added that vehicle production in the UK is more than 40 per cent up on the amount recorded a year earlier.
"Whilst we expect some challenging conditions, economic growth has returned in all major markets around the world," Mr Everitt commented.
This comes shortly after SMMT reported that in July, the number of new car registrations fell by more than 13 per cent.
Despite this, the market for the first seven months of the year is 15.1 per cent up on the same period of 2009.
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