WHILE the new car market continued to stall, the new light commercial vehicle (LCV) market saw its second best August on record with 20,582 registrations, according to the latest figures released by the Society of Motor Manufacturers and Traders (SMMT).

Compared to the pre-pandemic five year average, the industry recorded a 21.1% increase in new registrations during what is typically the market’s second quietest month of the year.

Light vans weighing 2 tonnes or less saw a decline of 23.3%, but all other classes saw growth. Heavier vans weighing more than 2.5 tonnes, the lion’s share of the market, saw a 7.0% increase in overall registrations as demand for online shopping and construction remained robust and pandemic restrictions continued to ease across the UK. Notable but atypical growth was seen in the 4×4 market, up 522.6% as a result of new models entering the market in the traditionally small segment.

While year to date registrations remain some 4.0% below 2019’s record levels, 2021 is proving to be a bumper year for van uptake, up some 2.6% on the five-year average. However, the semi-conductor shortage has impacted CV manufacturing both in the UK – where output is currently down 21.3% on the pre-pandemic average – and overseas, meaning the sector faces the same ongoing supply challenges already much reported in the new car market.

Sue Robinson, Chief Executive of the National Franchised Dealers Association (NFDA) said that at the end of last year, a number of manufacturers overstocked in readiness for any adverse consequences of Brexit. As a result, a large percentage of August’s van registrations can be attributed to customers opting for slightly different specification vans due to their immediate availability.

Both pick-ups and 4X4 derivatives showed an increase in registrations, however, this marketplace is going through a transitional period where many manufacturers are either rationalising or removing these variants from their ranges. OEMs such as Volkswagen and Ford have formed alliances to produce their next pick-up as the same vehicle under different brand names and images to cut R&D costs for what represents a low volume product. This may be the reason why August’s third bestselling vehicle was the Ford Ranger Pick-Up.

The Ford Custom Transit and Ford Big Transit held onto their market lead as first and second bestsellers, with the Mercedes Sprinter in fourth position.

Robinson said: “While dealers are still optimistic over the continued increase in demand for light commercials, there is an underlying concern that supply restrictions on semiconductors and other components could cause serious delays to future van deliveries.

“September’s registrations will be a clearer indicator of how the rest of 2021’s LCV market will pan out.”

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