German passenger-car registrations up 5% in May 2014

Article by Christian A., on June 4, 2014

Passenger-car registrations in Germany surged 5 percent to 274,804 in May, providing a glimmer of hope that the auto industry is still recovering in the country. Other European markets like France and Spain also logged higher year-on-year car sales in May. In the first five months of 2014, German registrations rose 3 percent to 1.26 million units.

Local brands like Porsche and Opel posted growths of 11 percent and 9 percent, respectively, helping boost registration figures in the country, according to the Federal Motor Transport Authority (KBA).

On the other hand, luxury brands Mercedes-Benz and BMW logged drops of 0.5 percent and 5 percent, respectively, in German registrations, as they review the cost structure of their German business and stopped short of heavy discounting. Volkswagen-brand saw its sales in May jump 2 percent.

While there are indications that the Europe auto market is recovering, excessive capacity and steep discounting distort the real level of demand. Mike Tyndall, an autos analyst at Barclays, remarked that incentives went up in Germany while the most generous ones are being offered by Peugeot, Citroen and Opel.

Average incentives for Peugeot and Citroen were at 24 percent and for Opel was 25 percent, according to Tyndall. He noted that sales growth in Germany was inflated by the fact that registrations in the same period in 2013 were particularly weak.

In France, vehicle sales surged 3 percent to 740,121 in the first five months of 2014, prompting the country’s CCFA industry association to mull raising its 1-percent growth full-year forecast in June.

Sales in Spain, meanwhile, jumped 16 percent in the five-month period, still helped by a government subsidy scheme that provides a rebate to new buyers for turning in their old cars. [source: automotive news - sub. required]

Topics: germany, sales

If you liked the article, share on:

Comments

Recommended

Bimmerpost has posted several cool pictures of the new BMW G30 540i and the new G31 generation BMW 5-Series Touring, with both wearing the brilliant Rhodonite Silver Individual colour. The...
by - October 23, 2017
A few years ago, Lotus tried to take on Porsche. They had a five-car plan to go against competitors like Ferrari and Aston Martin. Though it did not go well,...
by - October 23, 2017
To keep the Nissan Maxima interesting, the Japanese automaker gives the 2018 model year a number of small tweaks. Some of these include standard Android Auto, which is a new...
by - October 23, 2017
It looks as if Chevrolet has everything planned out in terms of production. Firstly, they have plans of introducing the Corvette ZR1 in a few months, which will then be...
by - October 23, 2017
While Tesla Motors continues to struggle with regards to the assembly of its much awaited Tesla Model 3, investment firm Oppenheimer & Co. is confident that its previous production estimates...
by - October 22, 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