The European new car market is edging closer to a two-decade low with French and Spanish sales falling again in in May, dashing hopes of a recovery this year.
French sales fell 10.3% year on year in May after a 5.2% fall in April. Spain, fell 2.6% after recording its first gain since last August in April.
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Europe-wide car registrations had risen in April for the first time in 19 months, helped by extra sales days as Easter holidays were earlier than in 2012.
Carmakers are hoping sales across Europe will fall no more than 5% this year although this would be helped by a favourable basis of comparison given the weak second half of 2012.
Government incentives did help boost sales in Spain during May although not enough to report the 10.8% jump seen in April.
There was a 46% fall in Renault’s sales in the country while the Volkswagen brand was down 17.3%. Renault also suffered in France with a 20% drop. Opel plunged by 25% in France and Ford fell 16.6%.
It is hoped that new mini SUV and minivan models from Renault and PSA Peugeot Citroen will help kick-start sales this summer.
