Q2 2025 Automotive industry demand forecast
The data in this report has been collated by the Advanced Propulsion Centre UK (APC) based on insight gathered from UK original equipment manufacturers (OEMs) as well as forecasts from S&P Global AutoTech Insight, Rho Motion, BloombergNEF (BNEF), Wood Mackenzie, Global Data and KGP Powertrain Intelligence.
Some key takeouts from the report include:
- Growth to just over 1 million vehicle production is expected by 2035, mainly driven by new model launches from OEMs.
- Although BEV production is set to more than double between 2027 and 2035 in Europe, some OEMs are extending internal combustion engine (ICE) model lifecycles and ramping up investment in hybrids (HEVs) and plug-in hybrids (PHEVs) alongside their BEV offerings.
- Recycling and end-of-life initiatives are gaining momentum across the vehicle value chain, focussing on critical materials in batteries and electric motors.
Published: 29/09/2025
Q2 2025 Automotive industry demand forecast
Q2 2025 Quarterly Automotive Industry Demand Forecast report suggests that to surpass current projections, the UK must continue to attract fresh investment for both introducing additional new models and bringing new manufacturers into the market to re-grow the industry to the Government’s target of 1.3m units per annum by 2035.
Published: 29/09/2025
Q2 2025 Automotive industry demand forecast
Q2 2025 Quarterly Automotive Industry Demand Forecast report suggests that to surpass current projections, the UK must continue to attract fresh investment for both introducing additional new models and bringing new manufacturers into the market to re-grow the industry to the Government’s target of 1.3m units per annum by 2035.