UK car output halved as chips shortage bites

UK car output halved as chips shortage bites
UK car output halved as chips shortage bites Copyright Thomson Reuters 2021
Copyright Thomson Reuters 2021
By Reuters
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LONDON - British automotive production more than halved in May compared with the same month in 2019, before the coronavirus pandemic, as a global shortage of semi-conductors and other components continued to weigh on car plants.

The output of 54,962 cars was down 52.6% from May 2019 although it was 10 times the figure for May 2020 when Britain was in the grip of a first coronavirus lockdown, the Society of Motor Manufacturers and Traders (SMMT) said.

Mike Hawes, SMMT chief executive, said the recovery of production faced a massive challenge in Britain and beyond because of the supply shortages.

"If the UK is to remain competitive, therefore, it must ensure it has a globally attractive policy framework for both vehicle production and the supply chain," he said.

Speeding up zero-emission car production had to be part of Britain's strategy, he said.

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