UK Vehicle Production Hits 70-Year Low Amid Tariff Uncertainty and Holiday Disruptions
June 5, 2025 – The United Kingdom’s automotive industry has experienced its most severe production decline in seven decades, with April 2025 vehicle output dropping to the lowest level for that month since 1952—excluding 2020’s pandemic-related shutdowns. Industry analysts cite a perfect storm of factors, including U.S. tariff concerns, seasonal disruptions, and manufacturing realignments.
Production Drops by 15.8% — Lowest April Since 1952
According to the Society of Motor Manufacturers and Traders (SMMT), vehicle production in April slumped by 15.8% year-over-year, with just 59,203 units built. This sharp decline marks a troubling benchmark for the UK auto sector and highlights its growing vulnerability to global trade dynamics and domestic scheduling challenges.
April’s output not only fell 25% from the previous month (March 2025) but also represented the weakest April performance in over 70 years. Passenger vehicle production dropped by 8.6%, while commercial vehicle output plummeted by a staggering 68.6%, largely due to a plant shutdown and post-pandemic demand normalization.
Factors Behind the Decline
A combination of issues contributed to this unprecedented dip:
Late Easter Holidays: The Easter break fell in April this year, cutting into available working days and disrupting production cycles.
Model Changeovers: Several automakers temporarily halted production lines to accommodate updates for new models.
Trade Tariffs: Ongoing uncertainty over U.S. auto tariffs, particularly the 10% duty applied to up to 100,000 UK-exported vehicles annually, added a layer of unpredictability for manufacturers. Companies like Jaguar Land Rover continue to face steep combined export-import duties of 27.5% on vehicles sent to the U.S.
SMMT CEO Mike Hawes noted that the industry is facing its most challenging start to a year since the 2009 financial crisis. “Urgent action is needed to boost domestic demand and international competitiveness,” he said, calling attention to recent efforts by the UK government to improve trading conditions with the U.S., EU, and India.
Mixed Export Trends
While overall exports declined, not all markets followed the same trend. Exports to Europe, the UK’s largest automotive trade partner, dropped 19.1%. Shipments to the U.S. dipped by 2.7%, whereas exports to China and Turkey surged by 44% and 31.2%, respectively—highlighting opportunities in emerging markets.
Despite the bleak figures, the SMMT remains cautiously optimistic. A broader industry shift toward electric vehicles (EVs) and updated trade agreements are expected to stimulate recovery in the coming quarters.
Looking Ahead
The UK’s auto sector stands at a crossroads, balancing between traditional combustion engine production and an accelerating transition to EVs. While April’s production figures reveal significant short-term challenges, renewed international trade relationships and investment in next-gen mobility may help drive long-term stability.
Still, the road ahead remains uncertain. As manufacturers await the full implementation of new tariff agreements, and as the global industry evolves rapidly, the UK must act decisively to preserve its automotive legacy
