UK commercial vehicle output rose by 27.4% in the first quarter of 2024 despite a 19.2% drop in March.
A total of 32,626 vans, trucks, taxis, buses and coaches left factory lines in the first three months of 2024; up 18.6% on pre-pandemic 2019 volumes, with demand driven by overseas orders.
Exports rose 57.9% to 23,060 units in the first quarter – an increase of 8,452 vehicles – and accounted for 70.7% of year-to date-output. That’s up from the figure of 57.0% in Q1 2023. The EU remained the top export destination, with more than nine in 10 vehicles (96.7%) heading for the bloc. Production for the UK market, meanwhile, fell 13.1% to 9,566 units.
However, while the market saw growth in January and February, March output slumped, marking the first monthly fall since September 2023. Exports dropped 12.6% to 5,084 units against the same month last year, with 732 fewer units made, while production for the UK fell 28.8% to 2,859 units.
The SMMT said the dropback in March reflected “market normalisation” after manufacturers had worked meet strong pent-up pandemic-related demand, as well as some temporary supply chain shortages and the early Easter bank holiday.
Growth is still expected this year, with the latest independent outlook expecting light van production volumes to hit over 135,000 units on the back of increased electric vehicle output.
Mike Hawes, SMMT chief executive, said: “It’s good to see UK CV production record its best Q1 performance in some 16 years, success testament to the determination of manufacturers to deliver for this vital sector, while investing in the latest cutting edge, ultra-low and zero-emission technology.
“Global demand continues for British-built commercial vehicles, emphasising the need for favourable market conditions to sustain our production capabilities for increasingly green vehicles. This means reducing energy costs, upskilling our workforce and maintaining free and fair trade deals, the result of which will allow us to attract further investment to improve productivity and decarbonise automotive manufacturing and its supply chain.”
