Centre for Process Excellence and Innovation

Oct 2012

Update of sourcing survey

CPEI staff have been working with the Department for Business, Innovation and Skills on the "Growing the Automotive Supply Chain" work that is being conducted under the Automotive Council UK. An initial report was published in 2011, with an update released this month.

The UK's automotive industry is a manufacturing sector of national importance and one of the most diverse in the world. More than 40 companies manufacture vehicles in the UK from passenger cars through to specialist vehicles and niche marques, as well as van, truck and bus builders.

In 2011 the UK produced 1.4 million vehicles. Over 80 per cent of current production is exported to markets around the world. Exports are up 10 per cent in the year to date and we have seen the value of vehicle exports exceed the value of vehicle imports over a 12 month period for the first time since 1975. Over the last 18 months global vehicle manufacturers have committed over £5.5 billion to projects in the UK.

The Automotive Council has responded to this challenge. Last year, its ground-breaking report Growing the Automotive Supply Chain: The Road Forward (pdf, 4.2MB) set out the size and scale of the UK opportunity. This unleashed a significant appetite for new and more localised UK content. The 2012 update to this report (pdf, 257KB) identifies at least £3 billion worth of additional contractual opportunities available for our UK based supply chain companies or for those who are willing to invest in and set up within the UK.

Read the March 2011 Department for Business, Innovation & Skills (BIS) press release

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