CO2 and climate change – the greatest challenge for sector, say motor industry bosses

27 November 2007 #SMMT News

Automotive Manufacturing – the Industry Perspective, SMMT’s fifth annual issues survey is published today.  Key findings reveal:


* 74 per cent of companies acknowledge that carbon dioxide emissions and climate change are now the single most important issue for the sector.

* Industry investment is leading consumers to greener motoring choices, so says 62 per cent of respondents.

* More joined-up thinking needed on incentives, infrastructure and consumer advice to drive demand for cleaner vehicles.

* Price, specification and running costs top priorities list for industry’s customers. Low emissions still far less important.

* Business confidence is high. 80 per cent remain optimistic about medium-term growth. Productivity is improving, say 66 per cent.

* China represents the greatest threat to UK-based manufacturers, followed by competitors operating in Western Europe.

* The strongest opportunities still lie in Western Europe and Central European markets.

* Recruiting level 3 (technician level) skilled people remains a key issue – particularly for companies operating in the components sector.

* On national road pricing, 87 per cent say it will add costs to business; chiefs remain ambivalent about its role in cutting CO2.


These are some of the headlines from this year’s SMMT issues survey, which collates the opinions of more than 100 industry chiefs operating in car, commercial vehicle and component manufacturing, as well as in the automotive aftermarket. The report is published today and can be downloaded free of charge from the SMMT web site –


‘The motor industry continues to demonstrate its commitment to sustainable products and manufacturing,’ commented SMMT chief executive Christopher Macgowan.


‘Companies across the industry recognise the importance of combating climate change and are investing more in R&D to be part of the solution. Partnership with government and other stakeholders will ensure that these challenges are addressed effectively, and within the context of a bright future for our diverse and forward-looking industry.’


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