Car output rises but exports slump

CAR production rose by 12 per cent to 116,046 in September from 103,716 a year ago, according to the Society of Motor Manufacturers and Traders. But production for export fell to 46,777 - down 23 per cent on September last year, writes Mary Fagan.

The export slump was to be expected because of a sharp downturn in most Continental markets, the SMMT said. It said September car production for the home market rose by 61.6 per cent to 69,269, showing that some manufacturers were building stocks after the August sales boom. The increase also reflects Nissan's production of the new Micra as well as output from Toyota's plant in Derby and Honda at Swindon.

A spokesman for the SMMT said: 'While the figures appear encouraging, the downturn within the EC and the hesitancy of the UK marketplace suggest that immediate future prospects must be regarded with caution.'