Shipbuilding and aerospace production ensure growth for UK manufacturing

Posted on 19 May 2025 by The Manufacturer

The value of UK manufacturing output grew to £153.1bn in Q1 2025, up 1.3% (£1.9bn) from the same period in 2024, thanks largely to production gains worth more than £1bn to the shipbuilding and aerospace manufacturing sectors, according to ONS data.

The value of automotive, aerospace and t ransport Equipment produced in the UK increased to £33.4bn in Q1 2025, up 6.4% year-on-year, with a 60% (£1.1bn) increase in the value of ships and boats built here and a 17% (also £1.1bn) increase in aircraft, spacecraft and related machinery production.

Shipbuilding in the UK was worth £2.8bn in Q1 2025, while the value of aerospace manufacturing output was £7.7bn. The value of motor vehicle & trailer manufacturing fell by £343m (1.68%) in the same period.

UK manufacturers also achieved year-on-year output gains in the following sectors:

  • Metals, metal products and machinery manufacturing output increased by £398m (3.4%)
  • Food products manufacturing output achieved gains worth £318m (1.3%)
  • Paper, paper products and printed material manufacturing output improved by £295m (5.2%)
  • Textiles, apparel and leather products manufacturing output increased by £77m (3.2%)

The value of chemicals and pharmaceutical preparations produced in the UK experienced the most significant decline, falling by £422m (3.8%) year-on-year. Other sectors with declining output were:

  • Coke and refined petroleum products output fell by £89m (3.7%)
  • Computer, electronic and electrical products output declined by £60m (0.6%)
  • Alcohol and tobacco products output was down by £38m (0.8%)

Chris Iveson, CEO at FourJaw Manufacturing Analytics, commented: “After achieving a record high in output in the final quarter of 2024, it is good to see UK manufacturing deliver further year-on-year growth in Q1 2025, and productivity improvements in most sectors.

“The fact that growth was achieved despite ongoing headwinds and additional global trade uncertainty is a credit to the resilience and adaptability of UK manufacturing. UK manufacturing is a growth industry again, but these are still challenging times. Rising costs make productivity and efficiency gains crucial for the long-term viability of most manufacturers today.”

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