April sees welcome rise for EU new car sales
The association’s latest data shows that the EU market for new passenger cars grew 1.7% in April to 1,038,343 units, marking the first growth since September 2011, although sales remain down 7.1% for the year to date.
The ACEA said that the increase in April would be accounted for as the region counted on average two more working days compared to the same month last year. In absolute figures, it is the third lowest level of new registrations for a month of April, with the historic low for April reached in 2012 (1,021,358 units).
In April, results were varied across markets. Looking at the major ones, Germany (+3.8%), Spain (+10.8%) and the UK (+14.8%) expanded, while France (-5.3%) and Italy (-10.8%) faced a downturn.
Year-to-date new car registrations amounted to 4,026,946 units, or 7.1% less than in the same period a year ago.
From January to April, the UK remained the only major market to post growth (+8.9%). Spain (-6.7%), Germany (-8.5%), France (-12.3%) and Italy (-12.3%) all saw their demand decline.
Commenting on April's rise, Christian Stadler, associate professor at Warwick Business School and car industry expert, said: 'We can not take this rise to mean that we are seeing a real recovery yet in the European car industry. We still see that mass production cars are in trouble because consumers cannot afford them, but the premium cars are doing better. Car sales are also doing well in the UK because the economy is doing slightly better there, compared to the rest of Europe.
'These numbers also look good because the industry is coming from such slump in the financial crisis and so there are not as many used cars around now. Because there are so few used cars around prices for them are high and so people are thinking they may as well buy a new car.'
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