European Car Sales ‘Fall For 12 Months In Row’

New car sales in the European Union have fallen for the 12th month in a row in September, according to the region’s biggest carmakers.

Demand across the 27 European Union countries fell 10.8% from last year.

But of the major markets, the UK was the only one to grow, up 8.2% from the same month last year, said the European Automobile Manufacturers Association.

Carmakers had 1.1 million new EU registrations last month – with 9.4 million cars sold this year so far.

Contrasting pictures

In September, the major car markets in the eurozone – which is weighed down by recession, spending cuts and high unemployment – fell sharply.

Germany – the largest economy in Europe and one of the biggest car manufacturers in the world – saw its car sales drop 10.9%. France fell by 17.9%, Italy fell by 25.7% and Spain declined by 36.8% from September 2011.

Across the EU as a whole, the 10.8% drop in September is the steepest drop so far in the past 12 months.

From January to September, the EU market shrank by 7.6% compared with 2011.

But the UK again had a positive showing in the year so far – up 4.3% so far this year, compared with double-digit declines in Spain and Italy.

Germany has sold 2.4 million cars so far this year – down 1.8% from the same period last year.

The European Automobile Manufacturers Association is made up of 18 European car, truck and bus manufacturers – including premium carmakers such as Germany’s BMW and budget manufacturers such as South Korea’s Hyundai.

In the UK, car parts maker GKN shares fell more than 4% as it said a sluggish European automotive market weighed on third-quarter profit.

“Macroeconomic conditions have deteriorated in recent weeks and some softening in order books is now evident, particularly regarding European automotive and industrial markets,” it said.

BBC