ABSTRACT
Despite internationalisation and the pressing need to offset a declining home market, there has still been no real improvement in exports. Any slight suggestion of a recovery in the real level of exports during the last four years is contradicted by the longer-term trend. Exports in real terms fell between 1975 and 1980 and by 1986 they have again fallen, to a level just below those achieved in 1970 when internationalisation was only just beginning to take effect. The rise in imports has in contrast continued relentlessly: indeed since 1982 there has been some acceleration even in real terms. In 1970 imports were only a quarter of exports. By 1980 this ratio had risen to one half. In 1986 imports are actually 10% higher than exports and the trade position for the first time is in deficit. Thus the longer-term decline in UK vehicle component manufacturers’ output and sales still reflects not merely knock on effects from the upstream domestic vehicle assembly industry, but a more fundamental and continuing decline in the
and output levels in the early 1970s, have now entirely vanished.
