Production achievements (PC+UV): UK 10 months 2016 and forecast 2017
- A quarter of car production in UK is sold in Great Britain each year. The level of the UK market therefore has a certain, but however not significant, impact on the volume of local production.
- The British market grew in 2015 (+ 6.3%) and in 2016 (+ 2.5%). But Inovev expects a 5% decline in the UK market in 2017, following the uncertainties surrounding the Brexit vote, even if it has not yet materialized, and the rise in the price of imported cars (which account for about 85% of the market), a consequence of the fall of the sterling pound (following the vote).
Taking these elements into account, the UK market is expected to decline not only in 2017, but also in the next two years.
Taking these elements into account, the UK market is expected to decline not only in 2017, but also in the next two years.
- However, British car production is unlikely to be affected by this decline, as it is mainly the imports which will be impacted. Moreover, the fall of the sterling pound will favours exports, and therefore local production. After rising 9% in the first 10 months of 2016, British car production will continue to grow in 2017, but Inovev expects however a growth which should not exceed 3%. Such an increase in production is drawn by the rise of Jaguar XE, XF and F-Pace from Tata group (Jaguar and Land Rover) the arrival of the Mini Coutryman in Cowley. These vehicles will offset the lose of production of the Nissan Note in Sunderland.
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