European Car Sales Crash to 17-Year Low

Hot on the heels of last week’s blog about UK new car sales, we’ve now seen the equivalent figures for European car sales – and they paint a very different picture! UK new car sales were relatively robust, showing a 5.3% increase. The European landscape, however, shows a car industry in crisis. With austerity measures biting and jobless totals on the rise, new car sales across Europe are at a 17-year low. Figures released by ACEA – the European automotive industry association – reveal an 8.2% decline in sales. In total, just over 12 million new cars were sold in Europe. European Car Sales Crash Looking at the sales data on a market-by-market basis, Greece – perhaps unsurprisingly given its financial woes – fared badly with a 33% reduction. Sales in Spain and Italy slumped by around 20%; the decline in Germany was over 16%; and France recorded a near 15% drop. Alongside the UK, Sweden recorded a year-on-year increase, suggesting that non-eurozone countries may be faring better than others – overall, eurozone countries lost over 11% in sales volume. The biggest losers in the battle for Europe were the Americans, with Ford and General Motors who each recorded declines of about 27%. The VW brand took a 22% sales hit, whilst Audi dropped 19%. There were, however, some winning brands. The Koreans performed well, with Hyundai and Kia posting 10% and 7% sales increases respectively. Just shows that well designed, economical and affordable vehicles with long warranties can pick up support in a really tough market. Forecasts for 2013 are equally gloomy, with estimates of a 3% drop in sales across the year. This forecast, coupled with redundancies being announced at Renualt, Fiat and Peugeot, has prompted leaders of some major car companies to call for EU intervention in and protection for the industry. Whether you’re looking to buy a new motor in 2013 or to nurse an old banger for another year, do your own bit for austerity management and compare car insurance quotes on before accepting the renewal price offered by your insurer!
24/01/2013 14:47:34 Eren

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