Car production continues to fall in the UK – almost 100,000 fewer vehicles were built in the first three months of this year than there were a year ago.

Manufacturing declined by almost a third in the first quarter as the industry struggles with the global shortage of semiconductors and other components, figures from the Society of Motor Manufacturers and Traders showed.

In all, 207,347 new cars were built during the first quarter, down from 306,558 in the same three months in 2021, when pandemic restrictions were in place.

Production in March fell to 76,900 from 115,498 last year – the weakest March since the financial crisis in 2009.

Seven in 10 cars made in the UK in March were built for export, with the EU taking the most, followed by the US and China, the SMMT said.

Exports to the US fell by 63.8%, while exports to the EU declined by 24.5%.

Production for the UK market increased by 4.3%.

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Mike Hawes, chief executive of the SMMT, said, “Two years after the start of the pandemic, automotive production is still suffering badly, with nearly 100,000 units lost in the first quarter.

“Recovery has not yet begun and, with a backdrop of an increasingly difficult economic environment, including escalating energy costs, urgent action is needed to protect the competitiveness of UK manufacturing.

“We want the UK to be at the forefront of the transition to electrified vehicles, not just as a market but as a manufacturer so action is urgently needed if we are to safeguard jobs and livelihoods.”

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