2020.11.2605:12:00UTC+00UK Car Production Declines As Sector Awaits Brexit Deal: SMMT

UK car production logged a double-digit decline in October amid the auto sector eagerly awaits Brexit agreement, the Society of Motor Manufacturers & Traders said Thursday.

Car production plunged 18.2 percent on year in October. Only 110,179 units left factory gates in October, data showed.

Due to the impact of coronavirus and fresh lockdowns at home and abroad, production for domestic market decreased 13.6 percent from the last year and that for foreign market fell 19.1 percent.

During January to October period, output lagged by -33.8 percent with 379,308 fewer cars made than same period in 2019.

Mike Hawes, SMMT Chief Executive, said, "These figures are yet more bad news for an industry battered by Covid, Brexit and, now, the unprecedented challenge of a complete shift to electrified vehicles in under a decade."

The agency said in the event of 'no deal' Brexit, production losses could cost as much as GBP 55.4 billion over the next five years, and even with a so-called 'bare-bones' trade deal agreed, the cost to industry would be some GBP 14.1 billion.