Record rise in car production as industry recovers

Car production soared by 90.2% last month compared with March last year, it was announced today.

The rise was a record for any month and showed just how deep in the doldrums the industry was this time last year.

A total of 117,622 cars were made last month, with commercial vehicle production reaching 13,046 - a 61.6% rise on March 2009, the Society of Motor Manufacturers and Traders said.

The production rise represented a fifth month of growth following the huge dip in production at the beginning of last year, which was marked by a major scaling back of manufacturing with Honda's plant in Swindon ceasing production for four months.

SMMT chief executive Paul Everitt said: "UK automotive production continued to make progress in March with strong growth in commercial vehicle, engine and car production.

"Headline figures highlight the scale of challenges faced this time last year, but also demonstrate a steady improvement in demand in home and export markets."

Everitt said the motor industry would continue to face tough market conditions, with the Government's car scrappage scheme having ended and access to finance and credit being "limited".

"A solid exchange rate and the world class competitiveness of the UK industry should help to sustain demand over the longer term."

The figures took the total number of cars produced in the first three months of the year to 316,067 - a 72.7% rise on the January-March 2009 figure.

Commercial vehicle production has totalled 32,428 for January-March - a 45.4% rise on the same period last year.