UK car production plummets on weak demand at home and abroad
Xinhua
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File photo: CGTN

LONDON, Nov. 28 (Xinhua) -- The United Kingdom's (UK) car industry faces extremely worrying times as the sector's production has plummeted for 16 of the last 17 months because of weak demand at home and abroad, the Society of Motor Manufacturers and Traders (SMMT) said on Thursday.

UK car manufacturing output fell four percent in October, with 134,752 units rolling off production lines, and in the year to date, output is down 14.4 percent to 1.1 million units, according to figures released by the SMMT. 

The automotive sector remains the UK's single biggest exporter of goods, and around 80 percent of cars built in the country are sold in foreign markets. Car production declined 10.7 percent for the home market as consumer and business confidence continued to wane, while overseas orders were down 2.6 percent, the SMMT said.

August was the only month that saw a modest increase in output as several key plants that had brought forward planned summer shutdowns to April to guard against the disruption of the then March 29 Brexit date kept production lines rolling throughout August.

SMMT Chief Executive Mike Hawes said: "Our global competitiveness is under threat, and to safeguard it we need to work closely with the next government to ensure frictionless trade, free of tariffs, with regulatory alignment and continued access to talent in the future."

Hawes said a close trading relationship with the European Union (EU) and preferential trading with all these other markets will be essential to keep automotive in the UK.

As most UK-built cars are exported to the EU, in the worst case scenario, a no-deal Brexit would mean the immediate imposition of tariffs, an end to the seamless movement of goods and the disruption of just-in-time manufacturing. 

Brexit stands as the most defining issue for the upcoming UK general election on Dec. 12. 

UK Prime Minister Boris Johnson launched the Conservative Party's election manifesto on Sunday, promising to put the Brexit deal before the House of Commons ahead of Parliament's Christmas recess to pave the way for the UK's departure from the EU on Jan. 31.