# Britain’s car output drops 6% as supply woes persist Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-10-27 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: UK Car Production Drops 6% in September, SMMT Raises Meta Description: Learn about the challenges facing UK automotive industry, including high energy costs and component shortages. BEV production up 16.6%. URL: https://financedigest.com/britains-car-output-drops-6-as-supply-woes-persisthtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2022-10-26t231508z1lynxmpei9p0vzrtroptp4britain-economy-autos-1736814963234-compressed.jpg) (Reuters) – British car production dropped 6% in September, an industry body said on Thursday, as the sector continues to bear the brunt of high energy costs, supply-chain snags and component shortages. The Society of Motor Manufacturers and Traders (SMMT) said 63,125 units were made in Britain in September, nearly half of the levels seen in 2019, before the pandemic hit. Battery electric vehicle (BEV) production grew 16.6% in the month, the SMMT said. The global exports value of [electric vehicles](https://www.financedigest.com/tax-credits-for-eu-electric-vehicles-to-dominate-mondays-trade-talks-with-u-s.html "Tax credits for EU electric vehicles to dominate Monday’s trade talks with U.S"), which represents more than a third of all UK car exports, surged to 7.9 billion pounds ($9.13 billion) from 1.3 billion pounds over the last five years. In September, SMMT said energy costs have [emerged as the single biggest concern for British](https://www.financedigest.com/mallorca-emerges-as-this-years-summer-hotspot-as-british-buyers-return-to-spain-in-their-masses.html "MALLORCA EMERGES AS THIS YEAR’S SUMMER HOTSPOT AS BRITISH BUYERS RETURN TO SPAIN IN THEIR MASSES") automotive manufacturers, which have collectively racked up more than 300 million pounds in bills during the year to August. In the week the UK gets a new [prime minister](https://www.financedigest.com/britains-queen-elizabeth-will-appoint-new-prime-minister-at-balmoral.html "Britain’s Queen Elizabeth will appoint new prime minister at Balmoral"), the sector is calling on the government to work together to create a competitive business environment for UK automotive manufacturing,” SMMT said. Britain’s new Prime Minister Rishi Sunak, who replaced Liz Truss after her brief stint, takes on an economy facing recession at a time when the [Bank of England is raising interest rates to tame double-digit inflation](https://www.financedigest.com/be-really-really-careful-on-inflation-bank-of-englands-haskel.html "Be ‘really, really careful’ on inflation – Bank of England’s Haskel"). Stability, combined with a plan that tackles critical skills shortages, delivers regulatory certainty and brings down the cost of energy in the long-term can help put the UK at the forefront of next-generation [automotive manufacturing,”](https://www.financedigest.com/automotive-exterior-trim-parts-market-size-industry-report-analysis-growth-future-trends-top-manufacturers-and-technology-toyota-boshoku-corporation-plastic-omnium-cie-automotive.html "Automotive Exterior Trim Parts Market Size, Industry Report Analysis, Growth, Future Trends, Top Manufacturers And Technology| TOYOTA BOSHOKU CORPORATION, Plastic Omnium, CIE Automotive") SMMT Chief Executive Mike Hawes said in a statement. ($1 = 0.8655 pounds) (Reporting by Amna Karimi in Bengaluru; Editing by Devika Syamnath) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---