UK car production surged in July, rising 31.6% to mark the sixth consecutive month of growth.

The overall 31.6% rise marked the sixth consecutive month of growth

A total of 76,451 units rolled off factory lines last month, showing the continued recovery from global chip shortages, according to new figures from the Society of Motor Manufacturers and Traders (SMMT). However, output remained 29.4% lower than pre-pandemic July 2019.

Production for both UK and overseas demand saw double-digit rises, up 13.7% and 36.1% respectively. Exports represented by far the bulk of all production in July. More than eight in 10 (82.8%) cars made were shipped overseas, with the top destination markets being the EU, US, China, Japan and Australia. Combined they accounted for almost 85% of all UK car exports last month.

Production of the latest hybrid electric (HEV), plug-in hybrid (PHEV) and battery electric vehicles (BEVs) also continued to soar, with combined volumes rising 73.9% to 30,180 units and representing almost two in every five (39.5%) cars made in July. Since January, UK car makers have produced more than 200,000 fully electric and hybrid cars, almost double the amount produced in the same period last year. The year-to-date figure is also up across the whole market, with volumes up 14.2% to 526,619 cars.

Mike Hawes, SMMT chief executive, said: “Six months of growth shows that British car production is recovering and, with electrified models increasingly driving volumes, the future is more positive. Recent investment announcements have undoubtedly bolstered the sector but global competition remains tough. If we are to attract further investment and produce the next generation of zero emission models and technologies, we need a coherent strategy that builds on our strengths and supports all aspects of advanced automotive manufacturing.”

The latest independent production outlook for the UK auto sector is also out, suggesting total output will reach around 860,000 units this year, up 10.9% on 2022, as the sector recovers from three tough Covid years. It’s forecasting that annual production will return to the million mark in 2028.