The number of new cars made in the UK fell 30.2% in June from the same month a year earlier, the Society of Motor Manufacturers and Traders (SMMT) said.
But the drop, to 91,718 cars, was the smallest of the year so far.
“The UK motor industry is weathering the global recession and beginning the long road to recovery,” said Paul Everitt, SMMT chief executive. “As production volumes and registrations begin to stabilise, government must help to sustain consumer confidence and encourage banks to deliver the credit industry needs.
Commercial vehicle production fell 60.4% to 8,532 vehicles.