U.K. Car Output Fell 18% in January

Britain’s light-vehicle production fell 18% to 120,600 units in January, as exports dropped 21% to 93,800 vehicles, says The Society of Motor Manufacturers and Traders.

It was the eighth consecutive month of year-on-year shrinkage. Production last year fell 9% to 1.5 million units.

SMMT attributes January’s retreat to model changes and sharp reductions in shipments to China (-72%) and the European Union (-20%). Domestic demand shrank 5%, hurt by worries about the U.K.’s scheduled departure from the EU a at the end of March.

The trade group notes that a survey of its members found one-third who have postponed or canceled investments because of Brexit. One in five have lost business because of it, and 12% say they have relocated some operations overseas as a hedge against a “hard” exit from the European Union.