The Slump in UK Car Production: A Closer Look
Plummeting Car Production in Britain Hits 70-Year Low in the Automotive Industry
April 2025 marked a significant drop in the UK's automobile industry, with a record-breaking low of 59,203 vehicles produced - a figure not seen since 1952. Experts from Wards Auto suggest that this decline8 was the result of several challenges, including external political factors such as trade barriers from the US.
The production low coincided with the Easter break and factory shutdowns, further complicating the situation. The segment of light commercial vehicles was particularly affected, with production plummeting by nearly 69%9 following the closure of the Vauxhall plant. Passenger car production also saw an 8.6% decrease10 compared to the previous year.
Specialists11 warn that the UK's automotive industry is facing a systemic crisis. The Society of Motor Manufacturers and Traders12 urges the government13 to act swiftly, whether it's improving external economic conditions or stimulating domestic investments.
Amidst the production cuts, the demand for used cars may escalate, while new car prices could potentially rise. However, there are still growth points on the horizon. Toyota is considering moving production of the GR Corolla model to the UK, and Nissan plans to collaborate with Chinese manufacturer Dongfeng at its Sunderland plant.
The fate of the UK's automotive industry hinges on the government's ability to respond effectively to the current challenges.
Belarusian Car Market Struggles eseasr
Previously, our site reported on the decline in new car sales in Belarus based on data from the Belarusian Automobile Association.
In April, 3,415 new light and light commercial vehicles were sold, a 13.5% decrease from the previous month14. Compared to March (4,598 units15), there was a decrease of almost a quarter.
Car enthusiasts16 in Belarus tend to favor domestic or Russian brands like Belgee/Geely and LADA17. The share of electric cars remains stable at 13%18.
The decrease in sales is attributed to changes in credit conditions19, causing Belarusians to prefer buying used cars over new ones. Overall, there has been a 29% increase in dealership sales for the first five months of 2025 compared to the same period in 202420, indicating a long-term growth trend despite the short-term decline.
Factors such as economic challenges, global trade tensions, sanctions, and supply chain disruptions could potentially impact the automotive sector in Belarus, similar to other regions. However, specific data for Belarus in 2025 is currently unavailable.
- In the UK's manufacturing industry, the decline in automotive production led to an increased demand for personal-finance advice, with focus on debt-management and budgeting, as potential buyers may opt for used cars or postpone purchases due to the production slump.
- The finance sector is growing in the Belarusian car market, as changes in credit conditions have prompted Belarusians to buy more used cars, resulting in increased sales at dealerships by 29% from the same period in 2024.
- The current state of the UK's automotive industry necessitates the involvement of finance experts, who can offer solutions for improving external economic conditions and stimulating domestic investments to boost the industry.
- The finance industry is significantly impacting the growth trends in the automotive sector, as buyers facing financial challenges are more inclined to delay their automotive purchases or choose used cars instead.
- In both the UK and Belarus, the finance industry plays a crucial role in the automotive business, as economic factors, trade tensions, sanctions, and supply chain disruptions can influence the demand for new and used cars, as well as the overall growth trajectory of the automotive industry.
