COVID-19 May Hinder 2020 UK Car Production

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The COVID-19 pandemic may wipe out some of the United Kingdom’s car production output for 2020 by 200,000 units, according to the Society of Motor Manufacturers and Traders (SMMT).

All car manufacturing plants in the U.K. have shut down as the country focuses on overcoming the coronavirus, according to SMMT. Estimates from the organization predict that numbers could reach just under 1.1 million, and would represent an 18% drop. The severity could worsen depending on the duration of the shut down.

“We wholeheartedly welcome government’s extraordinary package of emergency support for businesses and workers, but this must get through to businesses now,” said Mike Hawes, SMMT Chief Executive. “If we’re to keep this sector alive and in a position to help Britain get back on its feet, we urgently need funding to be released, additional measures to ease pressure on cashflow and clarity on how employment support measures will work.”

The automotive industry is one of the UK’s most valuable economic assets, according to SMMT, contributing to more than $23 billion to the economy every year and employing hundreds of thousands of people across every region of the country.

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