Carmakers are having to prioritise models and markets

Responding to today’s (November 26) SMMT UK car production statistics, Richard Peberdy, UK head of automotive at KPMG, said:

“Supply chain issues, particularly due to semiconductor shortages, continue to limit production.

Carmakers are having to prioritise models and markets, and that will continue into 2022.

“Increasing inflationary pressures only add to this challenging picture, leading to revised forecasts.

“But whilst there are fewer cars leaving the factory, those that do are selling, quickly, and with less discounting than historically required. 

Demand continues to outpace supply, and by the time these supply chain issues ease there will likely be a lot of pent-up demand to be met on forecourts. 

But for now that will still feel a long way off for a number of carmakers.”

-Ends-

For further comment or interview, contact:

Steven Reilly-Hii, Media Relations Manager, KPMG,

Email: steven.reilly-hii@kpmg.co.uk

Phone: KPMG Press Office on +44 (0) 207 694 8773

About KPMG

KPMG LLP, a UK limited liability partnership, operates from 21 offices across the UK with approximately 16,000 partners and staff.  The UK firm recorded a revenue of £2.3 billion in the year ended 30 September 2020. KPMG is a global organisation of independent professional services firms providing Audit, Legal, Tax and Advisory services. It operates in 147 countries and territories and has more than 219,000 people working in member firms around the world. Each KPMG firm is a legally distinct and separate entity and describes itself as such. KPMG International Limited is a private English company limited by guarantee. KPMG International Limited and its related entities do not provide services to clients.