Car manufacturing up 10.7% in August

Car manufacturing rose 10.7% in August compared with the same month last year, according to the Society of Motor Manufacturers and Traders (SMMT) while year to date production is 4.4% higher than in 2010.

Engine production was the best-performing sector, up by 14.4% in August and 4.8% higher over the first eight months of the year.

The SMMT’s chief executive, Paul Everitt, said new investment was fuelling the rise: “A manufacturing-led recovery is taking shape, with August’s automotive output up more than 10% and a recent wave of private investment securing long-term growth for the UK sector.”

He said the industry was on target to beat 2010 production volumes, with more growth to come in 2012.

Source: SMMT

But the global picture remains bright.

“Optimism is not dead,” said KPMG’s Mr Leech.

“Large global manufacturers are setting their sights on top-line growth over the next two years, primarily focusing on new products, strategic acquisitions and alliances, innovation and increasing production capacity in high-growth markets.”