UK: Western Europe car sales up 4.1% in June
According to data released by JD Power Automotive Forecasting, car sales in Western Europe grew by 4.1% over last year in June, the first positive year-on-year result for over a year.
The result reflects the continued impact of incentives, especially in Germany where the gain on last year was 40.5%. JD Power said that the German car market is up 26.1% so far this year and may hit 4m units for the whole of the year.
Car markets in France and Italy also continued to benefit from incentives and, in both cases, positive gains were achieved in June. The French market rose by 7% while car sales in Italy were up by almost 12%.
However, the UK and Spanish markets remained in strongly negative territory, though it is clear that incentive schemes in both countries are having a positive impact and helping to moderate the rate of decline.
Scrappage incentive schemes, combined with significant discounts from vehicle manufacturers, are producing a total Western European car market which could be on a par with or close to that of 2008.
JD Power said that the incentives have had the effect of stabilising the market and preventing what would otherwise have become a collapse.
However, the firm cautioned that the post-incentive environment is likely to present a major challenge to the industry in 2010.
The key market in this respect, it said, is Germany. When the incentive scheme expires at the end of 2009 as planned, the negative impact 'will be large'.
Past incentive schemes in France, Italy and Spain have been renewed once it has become clear that a given market will suffer upon the incentive expiry, it said, so nobody can say with confidence which schemes will be renewed in 2010.
JD Power warned that a negative German market correction from this year's expected near 4m unit market could send 2010's German car market as low as 2.6m units.
JD Power forecasts a West European car market of 13.33m units in 2009, which compares with 13.56m units in 2008 and 14.8m in 2007.
Government scrappage schemes in Europe - especially Germany - have helped to lift car demand this year. But they are sometimes criticised for merely pulling forward sales that would have happened anyw...
Analysts at JD Power Automotive Forecasting say that after a year that has seen unprecedented destocking by manufacturers, the outlook for European light vehicle production is forecast to turn positiv...
As the end of the year rapidly approaches, thoughts are turning increasingly to prospects for 2010. There are a few worries circulating. One of the biggest is that the nascent and rather fragile econo...
The boost to the European car market this year provided by government scrappage incentives has significantly depressed the diesel sector as car buyers have shifted to smaller gasoline engined cars....
Entrepreneur Sérgio Habib, Group SHC head, has announced a deal with China's JAC Motors (Jianghuai Automotive Co) for high-volume, long term imports of three models starting in the last quarter of 201...
New car registrations in Europe jumped 27% in November versus year-ago levels, according to data released by the European automakers' trade body, ACEA....
Jaguar has ranked top of the latest JD Power sales satisfaction index survey among luxury brands while Land Rover scored fifth....
Car sales in Western Europe grew by 29.2% year-on-year in November according to data released by JD Power Automotive Forecasting, but the firm cautioned on the market outlook for 2010....
- COMMENT: Tesla Model X - the elephant in the room
- THE WEEK THAT WAS: Volkswagen, diesel, recalls
- ANALYSIS: What does TPP mean for autos?
- Q&A: Magna’s CTO on the autonomous car
- Europe diesel forecasts revised down
- Aston Martin mulls new factory location
- JLR confirms Brazil plant will assemble Evoque
- Prosecutors u-turn on Winterkorn probe
- Porsche Cayman GT4 Clubsport to debut at LA show
- Magna does deal to acquire Stadco
- Global light vehicle engine technologies market- forecasts to 2030
- Ford Motor Company (F) - Financial and Strategic SWOT Analysis Review
- Global light vehicle safety systems market- forecasts to 2030
- Global light vehicle OE exhaust & emissions aftertreatment systems - forecasts to 2030
- Global light vehicle electric motors market- forecasts to 2030