Car production shows further rise

19 March 2010

Car production rose for the fourth month in a row in February registering a year-on-year increase of 62.7%, new figures have shown.

According to the Society of Motor Manufacturers and Traders (SMMT) commercial vehicle production also saw a strong recovery during the month, rising 74.2%.

The group said a weak sterling has helped fuel the growth in the industry which was suffering the worst effects of the recession during the same period last year.

SMMT chief executive Paul Everitt said: "The fourth month of consecutive growth in new car production is encouraging news for industry.

"Manufacturers and Government need to work together to ensure that there is continued investment in new products and technology to sustain future growth."

He added: "Sterling movement has made UK-built products more competitive, enabling the UK to work through challenging economic conditions.

"UK-built engines and vehicles are exported to over 100 markets worldwide, offering some resilience to local market conditions. Industry looks to next week's Budget to maintain stability in demand through continued investment in new products."

Copyright © Press Association 2010