The fast-growing Chinese market has been one of the important factors boosting the British car sector in recent years. A strong brand heritage and government support have helped British cars win acceptance in China and made the auto industry boom again.
China is the second-largest market for British-built cars, with the domestic market being the largest. Exports of British cars to China have increased seven-fold since 2009, according to the British Society of Motor Manufacturers and Traders.
As China's economy matures and changes, Chinese consumers' demand for high-quality vehicles increases. And a well-known brand heritage has placed the United Kingdom in prime position to take advantage of the emerging market.
German and Japanese car producers have good reputations and solid market shares in China, but the British car industry is succeeding in the region thanks to brand value and positioning.
UK-based car producers boast of a long tradition of engineering excellence and a highly skilled workforce, and it shows up in the sector's performance. Here are just some of the numbers:
・ Significant investment in brands such as Aston Martin, Bentley, Jaguar Land Rover, McLaren and Rolls-Royce means that 60 percent of all UK-built models offered in China are from premium manufacturers.
・ In all, 137,410 UK-built cars were exported to China in 2014. Exports to China exceeded the total shipments to Brazil, India and Russia combined.
・ Direct employment in the sector is about 160,000 people, with a total of 770,000 across the wider industry.
・ The industry's revenue last year was 64 billion pounds ($96 billion).
・ The UK surpasses France in terms of vehicle output, and it is in third place after Germany and Spain in Europe.
Also important is that the UK government is very supportive of car manufacturers. Since 2009, as a result of the global downturn, the UK government has accepted that the country cannot just rely on financial services to drive the economy.
It must also support manufacturing, including life sciences and motor vehicles. And it has sought to promote investment in the vehicle sector and encouraged young people to go into engineering.
Foreign investors have put money into the UK vehicle industry, rescuing some companies in the process.
For example, Shanghai Automotive Investment Co took over British brand MG Rover after it went bankrupt in 2005. Its newest sport-utility vehicle is expected to go on sale in China soon.
In 2008, India-based Tata Motors paid Ford 1.3 billion pounds for Jaguar Land Rover.
Zhejiang Geely Holding Group Co Ltd bought the iconic London Taxi Co in 2013 after it collapsed into administration. Geely has announced that it will invest 250 million pounds to build a new facility for the taxi in Coventry.
A potent combination of expanding markets, strong brand reputations, government support and infusions of investment are enabling the UK vehicle sector to reboot and make a significant contribution to the economy.
