European Passenger Car Sales At Lowest Level For Two Decades – Neighbours Also Suffering, But There Are A Few Signs Of Hope
Sales of new cars in Europe fell by 27% in January. A total of 958,500 new cars were sold across Europe in the first month of 2009, the lowest level in twenty years
The worst affected locations were Iceland, with a descent of over 88% followed by Ireland with 66.5 %. Subsequently came the newer EU member states in Eastern Europe, with Rumania and Hungary documenting a decline of over 50% in New vehicle Sales.
Other countries finding steep cuts in sales include Spain with a 41.6 %, Italy with 32.6 % and the UK with 30.9 %.
Of all the European countries, France performed the best, finding a cut of just 7.9 %; followed by Czech Republic where the cut was 12.3 %, then Germany, which saw a cut of 14.2 %.
This is the ninth consecutive month of plummeting sales for the European market, and its close neighbours are also feeling the squeeze in a very big way.
The Turkish Automotive Industry Association (OSD) having just announced that output fell by 65.8 %. Turkish Automotive exports to the EU dropped by just over 56% to US$883 million.
In Russia, new vehicle sales in January were 33% down on January 08.
There were, although some small glimmers of hope across Europe.
In Russia, Mercedes Benz indicated small sales growth, in the meantime Jaguar, Lexus, Porsche and Volvo all indicated promising sales growth.
In the UK, Hyundai posted a growth of 5.7 % year on year. Hyundai put the company’s accomplishments down to the fact people were ensuring they were well-informed before buying cars. Industry professionals state potential purchasers are paying closer attention to what they are getting for their money with regard to equipment, specification and warranty, rather than blindly plumping for an recognized brand.
Also in the UK, two actors in the Automotive Aftermarket were profiting from the reverse in buying habits as a result of the recession.
Halfords, Britain’s largest Car Parts and Accessories Retailer with over 450 stores across the UK, showed that its income is holding to forecast in spite of a decline in turnover.
Performance Wiper Blade Importer, XOPC, a comparatively new brand in the UK, specialising in High Performance and Long Life Wiper Blades is also enjoying a boost from the consumers’ consideration to new brands. Their Managing Director, John Akin said “Uk consumers are more willing than ever to give a new brand a try, if they give something extra in terms of value for money, performance, warranty and service. Our Silicone Wiper Blades aren’t the cheapest on the market by any means, however they are considerably cheaper than the standard rubber Wiper Blades from the leading recognized brands, and they come with our exclusive twelve month warranty. Purchasers are doing their sums and coming to us in record numbers”.
Posted: February 27th, 2009 under Automobile.
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