Britain: Car production plummets to lowest level in 76 years.

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Car production in the United Kingdom declined sharply in May, recording a decrease for the fifth consecutive month, amid increasing pressure from the trade policies pursued by US President Donald Trump, which have become a direct threat to the automotive industry. Data released by the Society of Motor Manufacturers and Traders (SMMT) on Friday revealed that the number of cars and commercial vehicles produced in the country fell sharply by 32.8 percent during May, reaching only 49,810 units, the lowest level recorded in this month since 1949, except for 2020, when factories were closed during the COVID-19 lockdowns. Shipments to the European Union and the United States - the UK's largest markets - also fell by 22.5 percent and 55.4 percent respectively last month. The SMMT reported that the sharp slowdown in car production is largely due to ongoing model changes, restructuring, and the impact of tariffs. In early April, Trump imposed a 25 percent tariff on all cars and auto parts imported into the United States, a move that prompted British luxury brands such as Aston Martin and Jaguar Land Rover to temporarily suspend shipments to the United States. In early May, President Trump signed an executive order reducing tariffs on British cars imported by American companies to 10 percent for the first 100,000 cars imported annually. British Prime Minister Keir Starmer said at the time that reducing tariffs on cars would save hundreds of millions of pounds annually for Jaguar Land Rover alone. Mike Hawes, Chief Executive of the Society of Motor Manufacturers and Traders (SMMT), said in a statement: "Although 2025 has been a very difficult year for the British automotive industry, there are signs of optimism for the future." Hawes said, "Confirmed trade agreements with key markets, especially the United States, and more positive relations with the European Union, as well as government strategies on industry and trade that recognize the critical role the sector plays in driving economic growth, will help in the recovery." A key driver of the British economy The automotive sector is seen as the main driver of international trade in the United Kingdom. For example, last year Britain exported cars worth £9 billion ($12.36 billion) to the United States, representing more than 27 percent of total UK exports. So far this year, total car production in the UK has fallen by 12.9 percent compared to 2024, reaching 348,226 units, according to the SMMT. This means that car production has fallen to its lowest level since 1953.