British new car sales drop to 30-year low
New car sales in the UK dropped in 2022 to their lowest level in three decades, a result of parts shortages and supply chain problems linked to COVID-19. Industry data released Thursday.
Most of the country’s automakers sold a combined 1.61 million vehicles, the lowest since 1992, according to the Association of Automobile Manufacturers and Dealers.
That represents a 2.0 percent drop from 2021, when demand was already destroyed by the COVID pandemic and semiconductor shortages.
“Despite the basic needs But the global shortage of parts related to the pandemic has reduced the overall registration for this year,” SMMT said in a statement.
New car registrations are one-fourth fewer than in 2019. Before the new corona virus crisis
However, the UK was able to cement its position as Europe’s second-largest market. after Germany After being surpassed by France in recent years.
And SMMT forecasts that new vehicle sales will grow 15 percent in 2023.
Mike Hawes, CEO of SMMT, said, “The automotive market continues to float on pre-pandemic performance. But it can support the broader economic outlook by delivering significant growth in 2023.”
“Looking forward The supply chain is stabilizing. And although the shortage of semiconductors is expected to subside, But uncertain supply will affect manufacturing throughout 2023.”
He added, “The lockdown in China is not helping. High logistics costs (and) greater pressure on raw materials
“Global manufacturing complexity has had a profound impact on the industry in recent years.”
December was the fifth month in a row that vehicle sales rebounded. This was driven by a surge in demand for battery electric vehicles. But that wasn’t enough to offset the steep drop in the first half. according to the identification of industry organizations
Many manufacturers face consumable constraints. Therefore, the focus is on the production of zero-emission electric models.
The UK is set to ban the sale of highly polluting diesel and gasoline vehicles from 2030, forcing the car manufacturing sector to switch production to electric vehicles.