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Car production up 28.6% in June

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Car production in the UK saw a year-on-year increase of 28.6% last month to 117,938 cars, it has been reported.

The Society of Motor Manufacturers and Traders (SMMT) said commercial vehicle (CV) production also rose 24.9% to 10,656 last month, while engine production was up 18.1%.

Compared to the fall in sales and production in the first half of 2009, the first six months of this year have indicated a positive trend in the automotive industry which come as good news for the car insurance sector.

Car production for the first half of this year was 55% ahead of the January-June 2009 total, while CV production was up 49.6% and engine production rose 35.3%.

SMMT chief executive Paul Everitt said: "UK automotive production rose in June with steady improvement across the car, commercial vehicle and engine sectors against a weak 2009.

"Continued investment in new products and technology is helping to sustain growth for the sector while rising demand from export and home markets is maintaining momentum.

"The coming months remain uncertain and sustaining economic recovery in major markets around the world remains the industry's top priority."

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