London, 27.02.20: British car production dipped 2.1% in January according to figures released by the Society of Motor Manufacturers and Traders (SMMT) .
Reduced demand from car manufacturing plants and additional shutdowns related to the coronavirus pandemic have caused the fifth successive month of decline. A global snowball effect is expected to continue as the industry anticipates the upcoming budget.
This highlights the industry’s over-reliance on key components from the Far East, and how this can be unstable for the British supply chain and the economy as a whole. With the transition to electrification accelerating, UK manufacturers are now calling on the government to invest and stimulate the market.
Kevin Brundish, CEO of electric vehicle battery manufacturer AGM Batteries www.agmbatteries.co.uk warns that the UK must prioritise the creation of an on-shore, full cycle supply chain if the manufacturing sector is to grow and meet the growing demand for electric vehicles and energy storage. Kevin observes that this would not only stimulate the economy and create jobs, but is more eco-friendly and avoids reliance on unpredictable external factors such as coronavirus.
Kevin comments: “The electrification of vehicles is a crucial factor in achieving the UK’s carbon neutral 2050 targets. In order to meet the unprecedented demand for electric vehicle battery production, the UK will need the equivalent of a staggering eight 15GWh Gigafactories by 2040.”
Kevin continues: “With battery demand for the automotive and energy storage market set to skyrocket, leading British manufacturers like ourselves are hoping for investment in the infrastructure needed to service the industry. The UK’s economy can be boosted with manufacturers who are able to keep up with the huge expansion of this market and create jobs.”
Kevin continues: “Battery supply for the UK manufacturing industry is already struggling to meet demand, and in response, the UK Government should continue to prioritise the creation of on-shore, full cycle battery plants instead of relying on large scale manufacturers abroad. It is costly and increases carbon footprint to have these batteries imported, especially when the UK has the talent and capabilities at home.”
Kevin concludes: “Creating a robust UK supply chain for the production of lithium-ion batteries would strengthen the UK’s car industry, making the country an attractive destination for international car-makers.”
About AMTE Power
AMTE Power works with clients and partners to scale new battery cell technologies through to manufacture and supply. AMTE helps in the early stages of development and design for manufacture, and has developed advanced lithium battery cells for a range of end user markets.
AMTE Power have developed alternative chemistries, including a new range of cells aimed to provide UK EV manufacturers with security of supply chain, and alternative cell options unavailable from large scale foreign providers.
AMTE’s battery production facility, AGM Batteries has a unique cell manufacturing plant in Thurso, Scotland. It is a direct replica of the large-scale cell manufacturing process, supporting prototyping and development of new technology on schedule, to provide customers with a flexible UK Cell production facility.