UK car sales fell in August due to supply chain problems – Business Live | a job

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UK car sales have fallen as the sector struggles with supply chain problems and staff shortages, and the pandemic takes its toll on the economy.

The latest industry data, released this morning, is expected to show new car registrations in August are down about 22% from a year ago, as the global shortage of semiconductor chips continues to affect production.

This follows a decline of nearly 30% in July, when the “epidemic” of people self-isolating also hit sales.

Demand may also suffer as more people switch to hybrid work patterns, and consumer confidence waned in the UK in August.

Reuters has more details:

British new car registrations in August fell 22% year-on-year, preliminary industry data showed on Monday, with the sector still grappling with supply difficulties linked to the pandemic.

The Association of Automobile Manufacturers and Traders (SMMT) said that during the first eight months of the year, the market was up about 20% from 2020, although numbers are still below pre-pandemic levels as the sector deals with a shortage of semiconductor chips caused by the coronavirus. . calamity.

Demand is usually quiet in August because many buyers are waiting for the license plate series to be updated in September, one of the two annual updates.

Reuters

UK new car sales fell 22% in August, preliminary data shows https://t.co/JdhjnrPvIK pic.twitter.com/lDOemjkQ20

September 6, 2021

Last August, auto dealers got a boost in their post-closing sales as they reopened after the first wave of Covid-19.

But this year, they are facing supply challenges, with the number of cars rolling off UK production lines in June, dropping to the lowest level for that month in nearly 70 years.

SMMT will release final sales figures for August at 9am UK time.

Last month, both Volkswagen and Toyota warned of production cuts due to a global shortage of computer chips. Volvo warned last Friday that its sales could fall in the second half of 2021, after it was forced to cut production due to material shortages.

The latest health check for UK and Eurozone construction companies will show the impact of supply chain problems.

The UK’s latest construction PMI is expected to slow, from a fast 58.7 in July to around 56.9 in August.

European stock markets are set to open slightly higher, after falling on Friday after a surprisingly weak US jobs report. Wall Street is closed for Labor Day.

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September 6, 2021 Agenda at 8.30am GMT: Eurozone Construction PMI for August 9am GMT: UK New Car Registrations for August 9.30am GMT: UK Construction PMI for August 10.30am GMT: New German car registrations for August
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