THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED SMMT, the ‘S’ symbol and the ‘Driving the motor industry’ brandline are trademarks of SMMT Ltd

UK automotive industry overview

Mike Hawes Chief executive

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 2

The UK Automotive Sector

770,000 jobs

dependent on

automotive

160,000 in

manufacturing

£64bn

turnover

£12bn

value

added

1.6 million vehicles annually

2.4 million

engines

80% of vehicles exported

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 3

10.0

11.0

12.0

13.0

14.0

15.0

16.0

17.0

1.80

1.90

2.00

2.10

2.20

2.30

2.40

2.50

2.60

EU

27

ne

w c

ar

reg

istr

ati

on

s -

Mil

lio

ns

UK

ne

w c

ar

reg

istr

ati

on

s -

Mil

lio

ns

UK (left-hand axis) EU27 (right hand axis)

Strong domestic market supporting UK industry

Source: SMMT registration data

EU

12.5m

+5.5%

(2014)

UK

target

2.507m

(2015)

UK

2.476m

+9.3%

(2014)

New car registrations (UK/EU27) 2006-2015

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 4

UK registrations underpinning sector growth

Vauxhall:

£125m

New Astra

Nissan: £250m

New Infiniti

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 5

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

DE UK FR IT ES

Vo

lum

e / m

Illi

on

s

2014 European Passenger Car Registrations

2.47m cars registered in UK in 2014, highest level since 2004

UK manufacturing supported by a strong domestic

market

Source: ACEA

+9.3%

+4.1%

+0.3%

+15.5%

Source: SMMT data

+2.8%

UK top 10 best selling cars

(2014)

1. Fiesta 131,254

2. Focus 85,140

3. Corsa 81,783

4. Golf 73,880

5. Astra 59,689

6. Qashqai 49,909

7. Polo 48,004

8. 3 Series 45,581

9. 500 44,005

10. Juke 39,263

SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 6

Changing Market

SUPER MINI

LOWER MEDIUM

DUAL PURPOSE

UPPER MEDIUM

MULTI PURPOSE EXECUTIVE

MINI

SPECIALIST SPORTS

LUXURY SALOON

1997-2000

2001-2005

2010

2014 12 to Aug

SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 7

0.0

0.5

1.0

1.5

2.0

2.5 1

97

0

19

72

19

74

19

76

19

78

19

80

19

82

19

84

19

86

19

88

19

90

19

92

19

94

19

96

19

98

20

00

20

02

20

04

20

06

20

08

20

10

20

12

20

14

20

16

20

18

Vo

lum

e /

mill

ion

s

UK car manufacture (1970-present)

Car manufacture Forecast

UK automotive manufacturing strengthening

2018 target

+2.0m

2014 results

1.52m

1972 peak

1.9m

Source: SMMT PIE data

2015

target

1.59m

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 8

Marque No. manufactured

500,238

374,355

178,993

172,215

121,799

77,836

75,152

10,614

UK car manufacturing output by site (>10k)

Bentley

Crewe

MINI

Oxford

Honda

Swindon

Jaguar

Castle Bromwich

Land Rover

Solihull

Land Rover

Halewood

Nissan

Sunderland

Vauxhall

Ellesmere Port

Toyota

Burnaston

Source: SMMT PIE data

2014 – 1,528,148 (+1.2%)

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 9

UK engine manufacture by site

Bentley

Crewe

BMW

Hams Hall

Ford

Bridgend

Ford

Dagenham

Honda

Swindon

Nissan

Sunderland

Toyota

Deeside

2014 – 2,394,688 (-6.2%)

Source: SMMT PIE data

JLR

i54

Marque No. manufactured

1,533,280

279,385

226,618

226,133

118,638

10,614

N/A

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 10

UK manufacturing going from strength to strength

Ford: £25m

Bridgend

engine plant

Toyota: £100m

New hatchback

Aston Martin:

£20m

Gaydon

JLR: £500m

New engine

plant

Vauxhall:

£125m

New Astra

MINI: £250m

Production

triangle

Nissan: £250m

New Infiniti

Bentley: £800m

New SUV model

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 11

Lear Corp.

Washington

Multi-million

pound investment

100 jobs

TRW

Sunderland

130 jobs

Amtek

Kidderminster

£5m investment,

100 jobs

Brose

Coventry

300 jobs

Stadco

Telford

£30m investment

UK supply chain investing in long term future

Automotive Insulations

Warwickshire

200 new jobs

Covpress Holdings

Coventry

£15m investment, 150

jobs

Entek

International

Tyneside

£10m investment

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 12

UK Car Exports in 2013/14

2007 2014

EU

Russia

China

US

Others

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED PAGE 13

• 12 May 2015, London.

• 26 confirmed buyers including:

Aisin Europe, Bentley, BorgWarner Turbo

Systems, Brose, BWI Group, CAB Automotive,

Calsonic Kansei , Cummins, DAF (Leyland Trucks),

Faurecia, Ford Europe , General Motors, Grupo

Antolin, Hitachi Automotive Systems, Jaguar Land

Rover, Kautex Textron, Lear Corporation, McLaren

Automotive, Nissan, Parker Hannifin Manufacturing,

Penso, Peugeot Citroen, Sears Manufacturing,

Showa UK, TRW, UK-NSI

• 330 companies expressed interest

Exhibition spaces are available For more information email:

supplychain@smmt.co.uk

In partnership with AIO

Society of Motor Manufacturers and Traders Limited

71 Great Peter Street, London SW1P 2BN

www.smmt.co.uk

THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED

Thank you