The UK is a highly volatile economy in terms of uncertainty in investment and production output due to Brexit's impact. However, the country has a significant value in the export of goods and services. The country has shown a significant rise in manufacturing operations, including food & beverage, machinery and equipment, and chemicals. Since the 2008 recession, the recovery of the manufacturing industry significantly relies primarily on four industries, such as the production of food, repair of machinery, motor vehicles, and other transport equipment.
As per the Office for National Statistics (ONS), the total value of product sales by UK manufacturers was $500 billion in 2018, an increase of 0.8% from 2017. The production of food products division is constantly making a significant contribution, led nearly $91 billion to total UK manufacturers' product sales in 2018. In addition, the production of machinery and equipment increased by 1.8% and reached nearly $36 billion in 2018. This has led to increased sales from the production of machinery for construction, mining, and quarrying industry. The global demand for machinery and equipment by UK manufacturers continued to increase, which is primarily contributing to drive the UK manufacturing sector.
However, like other countries, the UK is facing a major challenge of recession concerning the effect of COVID-19 pandemic. It has affected the whole production capability of the country coupled with a slowdown in global demand, and concerns regarding the availability of raw material. As a result, manufacturers of machinery and equipment in the country have temporarily shut down their industrial operations. For instance, in March 2020, Joseph Cyril Bamford Excavators Ltd. (JCB) has suspended manufacturing at all of its UK factories coupled with falling demand for construction equipment. The company's global demand for products has declined sharply as customers were cancelling orders and suspend deliveries. Therefore, it has stopped its UK production facility to re-plan orders and stocks condition, as well as focus on products that are needed by customers.
Based on industry classification, the report is segmented into automobile, food & beverage, machinery, electrical and electronics, aviation, BFSI, retail, healthcare, and others. A major slowdown in automobile production has been reported due to the effect of COVID-19. Many automobile manufacturers have shut down their automobile manufacturing facilities due to the coronavirus outbreak. For instance, Jaguar Land Rover Automotive PLC, a part of Tata Motors, suspended its production facility in line with the government advise to reduce the spread of coronavirus. The global automobile companies with their operations in UK, including BMW, Toyota, and Honda declared they have temporarily shut down their UK factories due to the coronavirus pandemic. This would result in a weaker production of automobiles in the country.
The Report Covers
Comprehensive research methodology of the pre and post COVID-19 impact on the UK economy.
This report also includes a detailed and extensive market overview with key analyst insights.
An exhaustive analysis of macro and micro factors influencing the market guided by key recommendations.
Analysis of regional regulations and other government policies impacting the UK economy.
Insights about market determinants which are stimulating UK economy.
Detailed and extensive market segments with regional distribution of forecasted revenues.
Extensive profiles and recent developments of market players.
Key Topics Covered:
1. Report Summary 1.1. Research Methods and Tools
2. Market Overview and Insights 2.1. Scope of the Report 2.2. Analyst Insight & Current Market Trends 2.2.1. Key Findings 2.2.2. Recommendations 2.2.3. Conclusion 2.3. Government support/bailout packages 2.4. Banking Initiatives 2.5. Supply Chain Analysis
3. Industry Overview 3.1. Historical market growth estimation of the UK economy excluding COVID-19 pandemic effect 3.2. Deviations in the UK economy growth rate due to COVID-19 pandemic
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