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UK car production slumps to lowest April levels since 1952 amid van factory closure and global trade turmoil

by May 29, 2025
May 29, 2025
UK car production slumps to lowest April levels since 1952 amid van factory closure and global trade turmoil

Britain’s car industry suffered its worst April in over 70 years, with new figures revealing a sharp fall in vehicle production that underscores deepening challenges facing the sector.

Data from the Society of Motor Manufacturers and Traders (SMMT) showed that UK car output fell by 8.9 per cent last month, with only 56,500 vehicles rolling off production lines — the worst April since 1952, excluding the shutdowns during the Covid pandemic. Meanwhile, commercial vehicle output collapsed by a staggering 68 per cent year-on-year, down from 8,500 to just 2,600 vans.

The figures cap off the worst start to the year for the British automotive sector since the global financial crisis of 2009. In the first four months of 2025, UK car production has dropped more than 4 per cent to 284,000 units, while commercial vehicle output is down 35 per cent, with van exports plummeting 75 per cent.

The SMMT attributed the slump to a combination of factors, including the late Easter holidays disrupting supply chains, the closure of Stellantis’s Luton plant — which previously built Vauxhall vans — and wider uncertainty linked to President Trump’s escalating trade war with China and the European Union.

With UK factories currently producing vehicles at an annualised rate of just 767,000 — fewer than at points during the pandemic — the sector is now operating at barely half of its pre-Covid levels. That includes major plants building brands such as Nissan, Mini, Toyota, Rolls-Royce, Bentley and Range Rover, all of which reported lower output in April.

Mike Hawes, SMMT chief executive, said the data should serve as a “wake-up call” for ministers. “With automotive manufacturing experiencing its toughest start to the year since 2009, urgent action is needed to boost domestic demand and our international competitiveness,” he warned.

He acknowledged recent trade breakthroughs — including improved terms with the EU, US and India — but said long-term success would depend on greater investment support and policy certainty. “To take advantage of these trading opportunities, we must secure additional investment, which will depend on the competitiveness and confidence that can be provided by a comprehensive and innovative long-term industrial strategy.”

The collapse in commercial vehicle production was largely driven by the decision by Stellantis to consolidate operations at Ellesmere Port, focusing on smaller electric models. The transition, while aimed at supporting the UK’s EV future, has left a production vacuum in the short term. It follows a broader industry trend as manufacturers race to retool facilities for zero-emission vehicle production ahead of incoming regulations and shifting market demand.

Hawes stressed that without a joined-up strategy to attract investment and stimulate EV demand, the UK risks falling behind global rivals. “Get this right and the jobs, economic growth and decarbonisation will flow across the UK.”

As the sector navigates the complex challenge of electrification, trade volatility and rising input costs, many manufacturers are warning that without government support and clear direction, the current downturn could become entrenched.

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UK car production slumps to lowest April levels since 1952 amid van factory closure and global trade turmoil

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