UK Engine Production Suffers Because of Trade Uncertainty

The thing about trade agreements—or lack thereof—which isn’t always taken into account is that there can be huge ramifications, particularly as trade between countries is nowadays extensively linked.

Case in point is what is going on in the UK auto engine manufacturing sector. According to the Society of Motor Manufacturers and Traders (SMMT), a trade association representing the auto industry, there was a 13.9% decline in engine manufacturing in November 2019.


(Image: SMMT)

This is particularly notable because about 60% of the engines built in the UK are exported. And because of the “no deal” Brexit that has been in the offing these past several months, the companies on the receiving end of those engines have worked to find alternative sources.

According to Mike Hawes, SMMT chief executive,” As with UK cars and vans, UK engine production is export-led, so it is vital that certainty is provided on the nature of our future overseas trading relationships. We look forward to working with the new government to secure an ambitious fture trade deal with the EU that ensures the future competitiveness of UK Automotive.”

Good luck with that.

Year to date, incidentally, UK automotive engine production is down 7.9% compared with 2018.

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