Tuesday, 30 May 2017
Europe drops sales by over 7% in April, with some significant declines in brands.
The European car industry saw a drop in registrations in April 2017, with new registrations for the month totalling 1.22 million units – a decrease of 7.1% when compared to the same month last year, and the largest monthly decline posted since March 2013.
This was also a poor month for diesel vehicles, which witnessed a 15% decline in registrations meaning that the fueltype has lost its dominance in the European market. Diesel accounted for just 46% of the market in April 2017, compared to its 50% market share in April 2016.
Four of Europe’s five largest markets posted decreases in registrations in April, with Spain the only market to experience an increase in registrations – a small 0.8%.
The largest decrease in Europe’s biggest five markets was posted by Italy, where registrations decreased by 24.2% - this can be attributed to the introduction of lower incentives that have cooled private demand.
This was followed by the UK, where registrations decreased by 19.8%, as the market felt the impact of the new VED rates. Meanwhile, in Germany, registrations decreased by 8%, followed by France, which saw a fall in registrations of 6.2%.
The decline in registrations particularly affected traditional car segments - compact cars posted a drop in registrations of 11.9%, subcompact registrations decreased by 9% and MPV registrations shrunk by 21.3%. Meanwhile SUVs continued to grow, posting an increase in registrations of 7.2% - but this growth wasn’t enough to offset the double-digit drops seen by other segments.