The latest figures show that sales were down by 29.1% or 33,615 units lower compared to January 2015.

Joerg Schreiber, chairman of the AEB Automobile Manufacturers Committee, commented: “Not the best start in to a year which all experts agree will show a negative sales trend again. Most forecasts including our own however see the full year at a better trend than shown in January.”

He added: “January has never been a reliable indicator for the sales trend in the following months of the year. It remains to hope this is true also in 2016, for which the general expectation remains negative, however at a less pronounced pace than seen in the whole of 2015. The recently announced extension of the government support to the automotive sector in the first half of 2016 is a positive step in this direction. On the other hand, the continuing price inflation fuelled by a very weak currency will remain a major challenge on the long way to market recovery.”