UK Car Output Drops 31.5 Percent

LONDON (AP) -- Car production in the United Kingdom fell 31.5 percent in August compared to a year earlier, as demand for big ticket items remained weak despite early signs of economic recovery, an industry group said Friday.

Commercial vehicle production was down 48.5 percent compared to a year earlier, the Society of Motor Manufacturers and Traders said. Underlining the depressed state of the sector, the society said this was the smallest drop recorded this year.

Car production in the first eight months is 44.6 percent below a year earlier and commercial vehicle production is down 62.7 percent, the society said.

"The continued fall in commercial vehicle output reflects ongoing weakness in the market," said Paul Everitt, the society's chief executive. "Specific action is needed to address business confidence and encourage investment in new business vehicles."

More in Operations