Car registrations continue to fall in Spain

The car sector continues to post negative figures. The latest, a 48.8% drop in sales in February, a decline that extends the fall in registrations to 45.5% so far this year.

Registrations of passenger cars and SUVs reached 62,107 units in February (-48.8% compared with the same month of 2008), according to data presented by the manufacturers’ association (Anfac) and the dealers’ association (Ganvam).

So far this year, 121,492 units have been registered, a 45.5% drop compared with the first two months of the previous year.
The February figure adds to the sharp fall in the Spanish car market, which has been declining since August with reductions that have not fallen below 30% and have mostly hovered around 50%.

Given this situation, manufacturers are adjusting their production levels. According to Anfac data, 123,762 new vehicles were produced in our country in January, which represents a 53% decrease compared with 2008. It is the largest drop in history.
As for vehicle exports, they fell 50.7% in January, to 105,154 units sold abroad.

The absence of an effective government plan does not allow for much hope for the future. In European countries such as Germany, it is becoming clear that direct aid works much better than our VIVE Plan. Germans are receiving 2,500 euros if, when buying a car, they hand in one that is nine years old or older. France and Italy are the other two major European markets that have this type of subsidy.

Source | El Mundo