UK commercial vehicle production fell by 12.2% to 3,185 units in August, thanks to a 21.9% drop in the number of vehicles exported.

The figures, compiled by the Society of Motor Manufacturers and Traders (SMMT), show that total UK CV production has now fallen by 3.2% so far this year, compared to the same period last year.

UK CV output, August 2016 (source: SMMT)

After the rapid recovery seen in 2014/15, a moderate slowdown in demand isn’t entirely surprising. It’s probably fair to assume that the backlog of renewals has now cleared and companies are moving back to a normal replacement cycle.

Commenting on the figures, Mike Hawes, SMMT chief executive, said:

“Underlying demand for UK CV production is broadly stable, despite the headline falls that are predominantly due to a strong performance in 2015 driven by regulatory changes that altered fleet renewal patterns. It’s a trend we expect to continue throughout the year. For long term strength to be upheld, maintaining competitive trading conditions and global demand will be vital.”

Here’s how CV output has changed since 2008. The ramp up in demand over the last couple of years is clear. In comparison, last month’s slowdown is quite modest. I don’t think it’s a cause for concern.

Source: SMMT (www.smmt.co.uk)