European vehicle sales fall 1.4 percent to 13.6 million units in 2011

Article by Christian A., on January 17, 2012

For the fourth consecutive year, full-year vehicle sales in Europe dropped 1.4 percent to 13.6 million units, pushed down by a 5.8 percent slide in December, according to Brussels-based industry group ACEA. Contributing factors to the decline were the drop in consumer confidence level as well as the unemployment which remained at record levels.

PSA/Peugeot-Citroen SA, Renault SA and Fiat S.p.A. were hit hard with the drop in sales. Four of the five largest markets in the region contracted, with Italy and Spain leading annual drops at 11 percent and 18 percent respectively.

For the eighth consecutive month, consumer confidence in Europe declined in December to the lowest level since August 2009. Unemployment remained at its highest rate since 1999, prior to the introduction of the euro currency.

Analyst Christoph Stuermer at IHS Automotive commented that all manufacturers that are landlocked in Europe will have "another very, very tough year" in 2012. He also predicted a 5 percent drop in European sales this year. He further stated that the "core" market of the French manufacturers is "under significant economic pressure," adding that it would not be fair to expect them "to swing their sales around when their core market has gone."

Renault and PSA, which are the biggest automakers in France, are reducing production capacity to lower inventories. Fiat CEO Sergio Marchionne mentioned earlier this month that the vehicle market in Europe may be flat until 2014, with Italian sales this year likely to be at less than 1.7 million vehicles, which is the lowest level since 1985.

Topics: europe, sales

If you liked the article, share on:

Comments

Recommended

Hyundai Motor Group – including both Hyundai Motor and Kia Motors – has disclosed a wide-ranging plan to introduce 31 environment-friendly models in a new development roadmap that aims to...
by - August 22, 2017
Over a decade ago, Pagani took the Zonda to the Geneva Motor Show. The Zonda hypercar was then set to retire in 2013 together with the track-focused Revolucion. But here...
by - August 22, 2017
The newest Porsche Cayenne is scheduled be unwrapped by the end of the month after completing endurance tests worth 2.7 million miles. Since we are just a few weeks away...
by - August 22, 2017
This is the time of the year when automakers give us teasers and previews of their upcoming models. Now, it seems like BMW is ready to unveil the M5 (F90)...
by - August 22, 2017
It is quite common to revive classic cars if you have a lot of extra money. Models like the Jaguar XKSS and Aston Martin’s DB4 GT have been upgraded to...
by - August 21, 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