64.8% car production rise in year

Car production has risen 64.8% on the January 2009 total, the largest increase since May 1976.

The big rise was expected after the industry was deep in recession this time last year. New vehicles demand was low and companies began cutting back on production at the beginning of 2009, with Honda ceasing manufacturing at its Swindon plant for four months from February to May.

Car and commercial vehicle production picked up later with a sales hike sparked by the Government's car scrappage scheme. Commercial vehicle (CV) production in January 2010 rose 9.6% compared with January 2009, the Society of Motor Manufacturers and Traders (SMMT) said.

The SMMT said UK engine production last month rose 26.3% compared with January 2009.

SMMT chief executive Paul Everitt added: "Vehicle and engine production rose for a third successive month in January, demonstrating the continued success of global scrappage incentive schemes."

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