UK car production fell 41% in February to a 13-year low

(SMMT), an association of British automakers and dealers, said on March 25th that due to chip shortages and the closure of Honda's plant in England in July last year, British car production in February was about 61657, down 41 per cent from 105008 in the same period last year and the lowest since February 2009.

That month, 1/4 of cars made in the UK were hybrid or electric. The UK government says the sale of new cars and vans with internal combustion engines will be banned from 2030 as part of efforts to reduce greenhouse gas emissions.

As a result of the growing shortage of semiconductors, UK car production in 2021 fell to its lowest level since 1956, only half of what it was five years ago. Mike Hawes, chief executive of SMMT, said: "the UK auto industry is expected to recover in 2022, but the recovery has not yet begun and urgent action is needed to ease rising energy costs and ensure Britain's global competitiveness."

Russia and Ukraine are major producers of key components of wiring harness, batteries and chips, and carmakers have also been affected by the situation in Russia and Ukraine, SMMT said.

Last year, Honda said it would close its Swinton plant in southern England because of falling demand for Honda cars in Europe. Before the novel coronavirus outbreak, Honda accounted for about 10 per cent of UK car production in the UK.