Motor Industry Battles Imports

Surging sales by the Volkswagen group, Fiat and Korean makes were mainly responsible for the share of last months market taken by imports soaring to 64.7 per cent, one of the highest figures recorded by the industry for a single month.

Import penetration for the first three quarters of the year as a whole, at 62.3 per cent, is also running at an exceptionally high level.

On Monday, the industry was shrugging off the figures as more a sign of the internationalisation of the industry than any crisis for UK-based manufacturers.

The Society of Motor Manufacturers and Traders pointed to sharp rises in UK production of cars for export this year as substantially offsetting increased penetration of the domestic market by imports.

 

While figures for September have yet to be released, the industry recorded a 54 per cent jump in cars for export in August to 53,000 from 34,000 in the same month a year ago and is still on course to produce a 20-year record of around 1.6 million cars this year.

Some of the biggest imports into the UK remain from names typically seen as British notably Ford and Vauxhall, whose imports include the Ford Mondeo and Scorpio and Vauxhall Corsa.

These are produced exclusively at continental European plants. However, it is the resurgence of traditional Continental impor-ters such as Volkswagen, which has long-term ambitions to challenge for a top four position in the UK market, that is driving import sales to their peaks.

Statistics issued by the SMMT on Monday show that imports in September rose by 7.7 per cent, to 89,331, in a total new car market down 1.4 per cent, year-on-year, to 138,059 from 140,069.

For the first three quarters of the year as a whole, imports rose by 8.3 per cent, to 1,032,674 from 953,341, in a total market per cent higher, year-on-year, at 1,657,234.

While market shares of Ford, Vauxhall and Rover fell last month, Volkswagen group increased 40 per cent, Fiat 35 per cent and Korean makes 37 per cent.

The small drop in total registrations in September disguised a steeper fall in registrations to private buyers.

which fell by a particularly disappointing 6.2 per cent, Ernie Thompson, SMMT chief executive, said.