Source:ACEA

17 NOVEMBER 2011

New PASSENGER CAR REGISTRATIONS in the European Union (EU 27) fell -1.8% to 1 005 976 units in October year-on-year following a first slow down in September, +0.6%  to 1 231 147 vehicles, as the Euro area's future was brought under the limelight by public debts concerns and dented major markets buyers confidence successively: in September, France's new passenger car registrations declined -1.4% to over 167 000 new units, a cyclical drop due to the month back to school expenses in addition to income tax payments that same month on top of austerity measures announcement in August. In Germany, the single currency lead car market, new units registered moved down by more than half to +8.1% or 280 689 vehicles in a prudent households wait-and-see approach.

Italy's -5.7 dip to 146 388 new cars reflected households concerns over public debt control, including government workers salary freeze and hiring restrictions, which translated into a one-day general strike. Spain's car market fared similarly and decreased by 1.3% to 55 572 units as record high unemployment figures brought additional « indignados » demonstrators to voice their discontent. In the UK, a non Euro area member state, new registrations fell -0.8% to 332 476 new cars as a pause following the previous month leap.

The region's consumers lack of confidence nevertheless branched out to peripheral countries, and impacted new registrations in eastern Europe or -1.9% to 59 140 new units. Poland's car market contracted -9.6%, to over 21 000 new vehicles along with the Czech Republic -2.1% to 12 978 new cars, equally in Hungary -2.1% to 3481 followed by Slovakia -4.4% to under 5000 new cars and Slovenia's -3.6% to 4523 units. Romania, Latvia and Lithuania positive performances prevented a bigger drop.

EFTA countries -- Switzerland, Iceland and Norway-- kept momentum steady or +14.7% to 38 499 new registrations. In October and year-on-year the number of new units registered slowed down slightly, +11.2% to equal numbers.

European Union's new vehicles registrations remained downbeat as the region's very future was undermined over the Greek debt deadlock, European banks recapitalizations and successive country and financial credit worthiness downgrades. Consequently, new passenger cars dropped the hardest in countries affected the most by the severe Euro area crisis: in Italy, -5.5%, in Spain -6.7%, in Greece -35.7%, in Ireland -51.8%, and in Portugal -41.5%. By contrast, and due to the Euro area crisis context, France and Germany respective car markets bounced back +2.4% and +0.6%,a probable leadership factor.

In eastern Europe, households chose, unevenly, to be on the safe side sending  new registrations to drop -4.1% to 64 189 new units: Poland‘s new vehicles dived -17.2% to 22 624 , while inversely the Czech Republic‘s rose +13.2% to 14 858 unlike Romania, Hungary, Slovakia and Slovenia while smaller markets, (under 2000 units ) in Bulgaria, Latvia, Lithuania and Estonia kept their respective markets on the rise.

Nine months into the year on a yearly basis and per manufacturer, new passenger car registrations fell -1.2%. VW Group, GM, BMW, Daimler, Nissan, Hyundai, Kia, Volvo Car Corp., Mitsubishi and Jaguar Land Rover reported positive increases although market shares were dented by lesser demand due to the European context.

PSA and Renault Group new registrations fell -7.6% and -8.5% to 1 411 738 million new vehicles and 1 068 605 units while their respective market shares nearly hit the one percentage point loss to 12.7% and 9.6%. Overall new registrations edged up +0.4% on the domestic market to 1 837 374 units with foreign cars up +7% on the same period while PSA and Renault new registrations fell -4%  according to CCFA data. VW Polo ranked 9th on the domestic market with 42 720 new units or +2.3% and Renault Clio +7% outperformed all other vehicles with 128 309 units sold.

VW Gold ranked 12th with 35 619 new vehicles registered or +1.9%. Peugeot 207/206+ ranked 2nd best vehicle to Renault with 126 598 new vehicles registered and counted five best performers in the domestic top 10 list.