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Europe's new car market reports worst June since 1996

New car sales in Europe suffered their worst June since 1996 with demand falling to 1,134,042 vehicles.

That total was down 5.6% from the same month last year.

It brought sales for the first half of the year to 6,204,990 cars, a 6.6% fall, according to the European auto industry body ACEA .

The UK was the only major car market to expand, with sales up 13.4% in June year-on-year and 10% ahead for the six months.

In contrast, in the first half of this year Germany's market was down 8.1% (132,000 units), France down 11.2% (117,000 units), Italy down 10.3% (85,000 units) and Spain down 4.9% (20,000 units).

Among the smaller markets the Netherlands was down 36% or almost 120,000 units and Ireland was down 20% or 13,000 units, although Belgium grew by 1.7% or 4,700 units and Denmark's market rose 9% or 7,500 units.

The figures relate to the 27 countries in the European Union plus those in the European Free Trade Association.

Norbert Reithofer, the chief executive of BMW, said in a German newspaper interview this morning that he did not expect a pick-up in Western Europe's markets until the middle of next year.

 

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Comments

  • Dan Jones - 17/07/2013 15:33

    No sure about the French manufacturers - but ze Germans, seem not to build without dealer orders. I am no expert, but I know if you want a bog standard VW Golf, the UK dealers have no stock. You need to place an order for it to be built, before you even get a projected delivery date. Current waiting time is 3-4 months allegedly. Most of the VAG group which includes SEAT, Audi and Skoda run this way also. I do think there are a lot of ex lease cars that simply get crushed or put in a field to rot when their 3 year term is over. As a lot of vendor financing (BMW certainly) goes on I recon this is where the losses hide - in 3 year old cars which can not be sold without flooding the market and depressing demand and the illusion of residual value. A different way of keeping the factories open from vanilla channel stuffing. Somebody might have a lot of 3 year old mid market sales exec type motors parked in a field on their books at a very unrealistic value. No evidence for the above - just my hunch. Dan - http://www.insurance4motortrade.co.uk