Morgan Ryder’s Post

Industry is already investing heavily in the transition, not “just” the billions in product development but also the estimated £4 billion worth of discounts offered customers this year alone. Furthermore, with industry still expected to fall short of the mandated EV market share targets, to this bill will likely be added an additional compliance bill worth £1.8 billion for cars alone. Van manufacturers, meanwhile, would face even bigger costs with its EV market drastically behind the required proportions. Manufacturing operations are undergoing their own immensely complex transformations. UK factories are continuing to retool for EVs – change that is absolutely necessary but highly disruptive, as SMMT figures published yesterday show, with car output falling by -15.3% in October, the eighth month of decline in a row. It underlines the importance of a strong partnership between industry and government as we work to develop an comprehensive Industrial Strategy that assures our competitiveness. The prize is significant, with the potential of £50 billion worth of green growth over the next decade, jobs gained, not lost and a healthy automotive sector fit for the future. More in this week’s Update: https://lnkd.in/eCMMHzsd

🇬🇧 UK Automotive Industry Weekly Round-Up: Friday, November 15, 2024 🇬🇧 This week, the UK automotive sector has been a mix of progress and challenges. Here’s what’s making headlines: 🚗 Electric Vehicle (EV) Boom Continues: The UK’s EV market is thriving, with October EV sales up 22% year-on-year, accounting for 35% of all new car registrations. The demand is driven by government incentives, improved charging infrastructure, and growing consumer awareness of sustainability. 🔋 Battery Manufacturing Gets a Boost: Plans for a new £2 billion battery gigafactory in the Midlands were announced this week, expected to create over 5,000 jobs and strengthen the UK’s EV supply chain. The project is part of the government’s strategy to secure domestic battery production and reduce reliance on imports. 🏭 Automotive Exports Surge: Exports of UK-manufactured cars saw a 15% rise in Q3, with high demand for luxury and EV models in markets like the EU, the US, and China. Jaguar Land Rover and MINI are among the top contributors to this growth. ⚡ Hydrogen Tech Advancements: The UK is emerging as a leader in hydrogen-powered vehicle technology, with major investments in fuel cell R&D. This week, a leading automaker unveiled its prototype for a hydrogen-powered commercial van aimed at decarbonizing logistics. 🌍 Sustainability in the Spotlight: Automakers are ramping up efforts to reduce carbon emissions across production lines, with several manufacturers pledging to achieve net-zero operations by 2035. A government grant of £500 million was awarded to support greener manufacturing processes. 📉 Challenges Persist in Supply Chains: Supply chain disruptions remain a concern, particularly for semiconductor availability, delaying production schedules. However, collaborative efforts between manufacturers and suppliers are showing signs of improvement. 🔧 Skills Gap Addressed: To tackle labour shortages, the industry is increasing investment in apprenticeship programs and upskilling initiatives, aiming to equip the workforce with advanced skills in EV and hydrogen vehicle production. Looking Ahead: The UK automotive industry continues to demonstrate resilience, innovation, and adaptability. With a focus on electric mobility, hydrogen technology, and sustainability, it is positioning itself as a global leader in the transition to greener transportation. What trends are you seeing in the automotive sector? Let’s connect and discuss! #UKAutomotive #EVs #Sustainability #HydrogenVehicles #Innovation #Growth #FutureOfTransport

UK Automotive Companies Investing for the Future 🚗 The UK automotive industry is making significant strides in long-term growth. Companies are investing heavily in electric vehicle (EV) technology, aiming to meet the government's 2030 ban on new petrol and diesel cars. This shift is not just about compliance but also about leading the global market in sustainable transport. Another key area of investment is in advanced manufacturing techniques. Many firms are adopting automation and AI to enhance productivity and quality. This not only helps in reducing costs but also ensures that UK-made vehicles remain competitive on the global stage. What are your thoughts on these investments? 🔹 #Automotive #Innovation #UKIndustry

UK Automotive Companies Investing for the Future 🚗 The UK automotive industry is making significant strides in long-term growth. Companies are investing heavily in electric vehicle (EV) technology, aiming to meet the government's 2030 ban on new petrol and diesel cars. This shift is not just about compliance but also about leading the global market in sustainable transport. Another key area of investment is in advanced manufacturing techniques. Many firms are adopting automation and AI to enhance productivity and quality. This not only helps in reducing costs but also ensures that UK-made vehicles remain competitive on the global stage. What are your thoughts on these investments? 🔹 #Automotive #Innovation #UKIndustry

Carmageddon - „How the Automotive Industry changed in recent years“ or „The rise of the Chinese Automotive Industry“. Four insights: - Building up electric vehicle production was (and still is) a strategic decision of the Chinese government. Still billions of dollars will be invested (e.g. via subsidies) in further development of EVs. Also China „has leapfrogged all the other major car-exporting nations to become the world's biggest car exporter - in terms of the sheer number of cars.“ - Cost effectiveness is key. - Battery production is key (39 % of value creation of an EV is realized by battery production) - Raw materials for battery production will be needed for further development and here China is not such a dominant leader. The race is still open and will make a difference in future development See the bigger picture with Sky News and Ed Conway #AutomotiveIndustry #Electrification #Electromobility #TheRiseOfChina

The transition to electric vehicles is posing significant challenges for the European automotive industry. Although EV production has increased since 2019, it is still below initial projections for production rate and the EU's carbon emission reduction target, even with this year's recent recovery! I think that European policy makers should strike a balance between environmental goals and promoting the competitiveness of the European auto industry, as well as enacting fair trade policies to shield European automakers from unfair competition, even though the Chinese competition is thriving with its annual production rate and dominance of market share worldwide. #electricvehicles #automotive #sustainability #EU #policy #innovation #evchina #BYD #NIO #Xpeng #TeslaModel3 #VolkswagenID3 #RenaultZoe #ToyotaEV #HondaEV 

Over 18% of the UK's total emissions are linked to the automotive industry, so it is no surprise that the sector is integral to net zero targets. Automotive manufacturers have the unique challenge of achieving their own net zero targets as a carbon-emitting industry and manufacturing millions of zero-emission vehicles by 2035. Paul Jones, the Chief Executive of the Northern Automotive Alliance says "The automotive industry is currently in the midst of an unprecedented transformation to decarbonise both its products and its processes, and digitalisation will be a key enabler in achieving this goal." As electric vehicle production scales up, tackling the higher manufacturing emissions associated with EV batteries will be crucial. By leveraging local manufacturing and enhancing the lifecycle emissions of vehicles, the industry can make substantial progress toward the UK's net zero targets. The automotive sector can play a pivotal role in creating a greener future, through continued dedication to sustainability. https://lnkd.in/er8eKhvY #EmpoweringEnergy #NetZero #EnergyAndSustainability #AutomotiveManufacturing #AutomotiveAlliance

This week's Society of Motor Manufacturers and Traders (SMMT) Transport News Brief lead comment, Plans for growth Today, SMMT has published the latest UK commercial vehicle (CV) manufacturing figures for August – showing that year on year, production is down -10.0% with 6,044 units rolling out of UK factories. Context, however, is important. August is a low output month due to the traditional ‘summer shutdown’, meanwhile percentage changes are amplified – and the decline was equivalent to just 673 fewer units. Year to date, volumes are still 8.8% up on 2019’s pre-pandemic output. Exports continued to dominate output with more than half of output (59.3%) produced for overseas markets, with the EU receiving the lion’s share (97.2%). With vehicle production so important to the UK economy, it’s no surprise that the new government is committing to boosting the jewel in the crown of UK manufacturing base, the automotive industry – as outlined in Labour’s plan for the Automotive Sector, with key aspects like building an electric vehicle (EV) workforce and accelerating domestic battery manufacturing. They also recognise that while it’s important to focus on finished vehicle and battery production, there is a wealth of further opportunity for supply of other essential EV components such as powertrains, fuel cells and power electronics. Making sure the nation benefits from the technology the sector provides is also crucial. Last week, the government announced £88 million of funding for 46 projects aimed at boosting development and use of zero emission vehicle tech. Projects include deploying zero emission trucks delivering our post, and cleaner, greener bus journeys. In short, the funding will back projects that will lower emissions across the country, while also supporting skilled jobs. The Faraday Institution also published a report that predicts by 2030, the UK will need battery capacity of around 110 GWh per annum, the equivalent of six gigafactories. Recent gigafactory announcements in the UK by AESC and Tata Group have built excitement about the potential to create a new, dynamic and highly skilled battery industry in the UK. With huge investment needed for the other four gigafactories, we look forward to the government’s mission is to create a strong, stable and pro-business economy, with the UK remaining an attractive destination for investment for the automotive industry. Finally, the Government have also suggested six things to fix the NHS, one being mobile lung cancer screening trucks for testing people at supermarkets, sports centres and football grounds. Last year I visited the facility that builds these screening trailers in Leicestershire and saw firsthand the workmanship that goes into building these by hand from the skilled workforce. The UK can be proud of our commercial vehicle manufacturing from small electric vehicles, large trucks and medical trailers – and with a clear strategy, it will continue to thrive.

The UK’s automotive sector stands at a crossroads. Its success in transitioning to BEV production could not only secure its future but also reinforce its position as a driver of economic growth, employment, and prosperity. To enable the automotive industry’s transition, significant investment and government support will be required. This includes creating a business environment that allows the scaling up of battery production, securing of supply chains, and ensuring that the workforce is equipped with the skills needed for BEV manufacturing. Find out more the UK auto industry’s path to electrification here: https://lnkd.in/eVuwjSY5 #automotive #BEVs #automotivemanufacturing

🥊Report from the EU 🇪🇺  𝗧𝗵𝗲 𝗳𝘂𝘁𝘂𝗿𝗲 𝗼𝗳 𝗘𝘂𝗿𝗼𝗽𝗲𝗮𝗻 𝗰𝗼𝗺𝗽𝗲𝘁𝗶𝘁𝗶𝘃𝗲𝗻𝗲𝘀𝘀 « The #automotive sector is a key example of lack of EU planning, applying a #climatepolicy without an industrial policy. […] The ambitious target of zero tailpipe emissions by 2035 will lead to a de facto phasing out of new registrations of vehicles with internal combustion engines ⛽️and the rapid market penetration of #EVs 🔋🌳. Yet, the EU has not followed up these ambitions with a synchronised push to convert the #supplychain. For example, the Commission only launched the #EuropeanBatteryAlliance to build a battery value chain in Europe in 2017, while Europe 🇪🇺as a whole is far behind on installing #charging 🔌infrastructure. China, by contrast, has been focusing on the full EV supply chain since 2012 and, as a result, it has moved faster and at a larger scale and is now one generation ahead in EV technology in virtually all domains, while also producing at lower cost. European companies are already losing market share and this trend may accelerate as shipping bottlenecks are overcome. 𝐂𝐡𝐢𝐧𝐞𝐬𝐞 𝐜𝐚𝐫𝐦𝐚𝐤𝐞𝐫𝐬' 𝐦𝐚𝐫𝐤𝐞𝐭 𝐬𝐡𝐚𝐫𝐞 𝐟𝐨𝐫 𝐄𝐕𝐬 𝐢𝐧 𝐄𝐮𝐫𝐨𝐩𝐞 𝐫𝐨𝐬𝐞 𝐟𝐫𝐨𝐦 𝟓% 𝐢𝐧 𝟐𝟎𝟏𝟓 𝐭𝐨 𝐚𝐥𝐦𝐨𝐬𝐭 𝟏𝟓% 𝐢𝐧 𝟐𝟎𝟐𝟑, 𝐰𝐡𝐢𝐥𝐞 𝐭𝐡𝐞 𝐬𝐡𝐚𝐫𝐞 𝐨𝐟 𝐄𝐮𝐫𝐨𝐩𝐞𝐚𝐧 𝐜𝐚𝐫𝐦𝐚𝐤𝐞𝐫𝐬 𝐢𝐧 𝐭𝐡𝐞 𝐄𝐮𝐫𝐨𝐩𝐞𝐚𝐧 𝐄𝐕 𝐦𝐚𝐫𝐤𝐞𝐭 𝐟𝐞𝐥𝐥 𝐟𝐫𝐨𝐦 𝟖𝟎% 𝐭𝐨 𝟔𝟎%.” More on 👇 https://lnkd.in/eyUentRg