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    Home > Top Stories > UK car output falls 27% in August amid chip shortage
    Top Stories

    UK car output falls 27% in August amid chip shortage

    Published by maria gbaf

    Posted on September 30, 2021

    1 min read

    Last updated: February 1, 2026

    The image highlights the impact of the semiconductor chip shortage on UK car manufacturing, showing a significant 27% drop in production for August. This trend affects the automotive industry and exports, as discussed in the article.
    Declining UK car production due to chip shortage impacting automotive industry - Global Banking & Finance Review
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    Quick Summary

    UK car production dropped 27% in August due to a semiconductor shortage, affecting exports to major markets, as reported by SMMT.

    UK Car Production Declines 27% in August Amid Chip Shortage

    LONDON (Reuters) – British car production dropped by 27% year-on-year in August as a lack of semiconductor chips continues to hurt the sector worldwide, a trade industry body said on Thursday.

    The timing and duration of summer shutdowns at certain plants also pushed down output, which stood at 37,246 cars, according to the Society of Motor Manufacturers and Traders (SMMT).

    There were big drops in the number of vehicles exported to Australia, the United States and China, whilst sales to the EU were only down 4.9%, and vehicles destined for domestic buyers rose 3.3%, figures showed.

    “Carmakers and their suppliers are battling to keep production lines rolling with constraints expected to continue well into 2022 and possibly beyond,” said SMMT Chief Executive Mike Hawes.

    (Reporting by Costas Pitas. Editing by Andrew MacAskill)

    Key Takeaways

    • •UK car production fell by 27% in August.
    • •Semiconductor shortage continues to impact the industry.
    • •Exports to Australia, US, and China saw significant drops.
    • •Sales to the EU decreased by 4.9%.
    • •Domestic vehicle sales rose by 3.3%.

    Frequently Asked Questions about UK car output falls 27% in August amid chip shortage

    1What is the main topic?

    The article discusses the 27% drop in UK car production in August due to a global semiconductor shortage.

    2How did the chip shortage affect exports?

    Exports to Australia, the US, and China saw significant declines, while EU exports decreased by 4.9%.

    3What was the impact on domestic sales?

    Despite the overall production drop, vehicles destined for domestic buyers rose by 3.3%.

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