Report: European automakers will see the start of a sales recovery next summer

Article by Christian A., on November 14, 2010

Market experts say that next summer, European carmakers will start to see sales recover from the double-dip recession that has plagued Europe since May 2008.

Jonathan Poskitt, European sales forecast manager at J.D. Power and Associates, said that the Western European car demand is expected to recover in the second half of next year, possibly from July.

Poskitt adds that in the 1st half of 2011, sales in Western Europe will decline six to seven percent but in the last six months of 2011, sales will climb by three to four percent.

Poskitt expects that, for the entire year, sales will decline 2.1 percent to 12.6 million units. Stuart Pearson, a London-based Morgan Stanley analyst, predicts that the downturn will hit bottom in the first quarter of 2011, then gradually ease afterwards. Pearson expects a three percent sales decrease in 2011.

The monthly sales reported by ACEA, the European automaker association, show that sales in EU started falling in May 2008 before the global economic crisis brought by the collapse of Lehman Brothers in September 2008.

After that, sales fell for 13 months in a row until May 2009. In June 2009, demand started recovering when scrappage incentives in Germany, France, Spain, Italy and the United Kingdom boosted the European market. Market data show that European auto sales are in a W-shaped downturn, which is also known as a double-dip recession. [via autonews - sub. required]

Topics: europe, sales

If you liked the article, share on:

Comments

Recommended

J.D. Power has officially released the 2017 Vehicle Dependability Study, an annual list of the most dependable brands in the auto industry. Once again coming on top is Lexus, the...
by - February 26, 2017
Citroen revealed that its entry to the Chinese market is moving forward with the planned release of the new generation C5. While still on sale on this part of the...
by - February 26, 2017
There is definitely a second-generation Super Series from McLaren. Even in camouflaged form, it is simply incredible. But while we still don’t have the full data on how truly dynamic...
by - February 25, 2017
A lot of fans are excited with the news that Porsche could be unveiling a performance version of its Panamera 4 E-Hybrid plug-in hybrid during the 2017 Geneva Auto Show. ...
by - February 25, 2017
Tesla is finally setting a more “definite” schedule with regards to the official launch of the Tesla Model 3 electric car. A “limited production” is said to be slated to...
by - February 25, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries