31st Jul 2019 06:43
(Alliance News) - British car-manufacturing plunged by 20% to 666,521 vehicles in the first six months of the year compared to the same period last year, the industry's trade association said Wednesday.
June also marked the 13th consecutive month of decline with car manufacturing dropping by 15% last month, according to the Society of Motor Manufacturers & Traders.
Around 80% of vehicles made in Britain are exported to the EU, but the figures come as new Prime Minister Boris Johnson insists the country will leave the bloc by October 31 even without a deal "no ifs or buts".
The car industry has argued strongly against a "no deal" Brexit, fearing the imposition of tariffs and the disruption of supply chains.
The SMMT said investment in the automotive sector, Britain's biggest single exporter of goods at more than 14%, had also dropped by 70% in the first half of the year to GBP90 million.
"Today's figures are the result of global instability compounded by ongoing fear of 'no deal'," SMMT Chief Executive Mike Hawes said.
"This fear is causing investment to stall, as hundreds of millions of pounds are diverted to Brexit cliff-edge mitigation - money that would be better spent tackling technological and environmental challenges."
Jaguar Land Rover, owned by Tata Motors, was the biggest car manufacturer in Britain last year, followed by Nissan Motor Co, Mini-owner BMW AG, Toyota Motor Corp, Honda Motor Co Ltd and the PSA Group.