UK Car Manufacturing Slumps to Lowest April Output Since 1952
Car production in the UK fell to its lowest April level in more than seven decades – excluding the pandemic-hit year of 2020 – as manufacturers grappled with global trade disruptions, changing industry dynamics, and fewer working days due to Easter.
According to data from the Society of Motor Manufacturers and Traders (SMMT), just 59,203 vehicles were built last month, marking a 16% drop compared to April 2024 and a 25% fall from March. The only April to record a lower output was in 1952, when just over 53,000 vehicles were produced.
The sharp decline is being attributed to several factors, including a shift away from petrol-powered vehicles to electric models, ongoing tariff disputes with the United States, and the reduced number of working days caused by the Easter holiday.
A significant blow came from the impact of U.S. tariffs on UK car exports. Jaguar Land Rover, one of Britain’s largest car manufacturers, is currently paying tariffs as high as 27.5% on shipments to its American operations. Although a new trade agreement between the UK and US was signed earlier in May, which would reduce tariffs to 10% for up to 100,000 vehicles annually, it has yet to take effect – frustrating manufacturers hoping for immediate relief.
“The costs we’re facing are substantial,” Jaguar Land Rover said, noting that the current situation puts UK exports at a severe disadvantage.
While a recent US court ruling blocked many of the Trump-era tariffs, it notably did not lift those applied to cars, steel, and aluminium—three major export categories for the UK.
In addition to weakened demand from the US, car production for EU markets also declined, contributing to an overall 10.1% drop in export output. Total UK car production for the first four months of 2025 is now at its lowest since 2009.
Despite the bleak manufacturing figures, domestic car sales have remained relatively stable. Nathan Coe, CEO of online marketplace Autotrader, noted a rise in both new and used car sales within the UK, though he acknowledged that manufacturers dependent on exports have taken the brunt of the hit.
“From a manufacturing point of view, it’s down. But the consumer market here in the UK is holding up well,” Coe said.
Globally, other major car-producing nations such as Germany, Italy, France, and Japan are also experiencing slowdowns, according to Professor Peter Wells of Cardiff University’s Centre for Automotive Industry Research.
However, Prof Wells pointed out that the UK faces some unique pressures, including fewer restrictions on Chinese car imports and a lack of consistent government policy around electric vehicle (EV) targets. The recent UK government decision to relax EV sales mandates and lower emissions-related penalties has further clouded the outlook for manufacturers.
“The sector thrives on clear, stable policies – something we’ve struggled with,” said Prof Wells, warning that continued volatility could deter long-term investment in UK automotive production.
In recent years, global players like Honda and Ford have closed UK plants, while Stellantis, which owns Vauxhall and Peugeot, has expressed concern about continuing its UK operations under current conditions.
The SMMT remains hopeful that new trade agreements with the US, EU, and India could eventually boost production numbers, but the path to recovery appears uncertain amid ongoing global and domestic challenges.
