Eur-0’s–Europen Car Sales Drop Second Month in a Row (Down 9.3%)

Released VIA BaseMetals.Com–London, 15 June 2010 – European car sales fell for the second consecutive month in May, down 9.3 percent year-on-year, reflecting the end to government support schemes and a challenging economic situation, the European Automobile Manufacturers Association (ACEA) said.

New passenger car registrations in the EU 27 members totalled 1.129 million in May, compared to 1.245 million in May 2009. The figure was also slightly down from 1.135 million in April, it said in a news release on Tuesday.

Germany recorded the biggest decrease in registrations, down 35.1 percent to 249,708 vehicles. It was followed by Italy, down nearly 14 percent, and France, down 11.5 percent. However, Spain and the UK showed a 44.6 percent and 13.5 percent increase in car registrations.

Sales in the first five months of the year were still up 1.9 percent compared to the same 2009-period at 5.94 million cars. Of the most important markets, only Germany showed a decrease during the period, down nearly 28 percent.

The markets for metals used in car parts closely followed developments in the automotive sector in 2009, with the fall in production and sales – mostly in the first half – resulting in reduced demand amid tighter economic conditions.

Prices of copper, aluminium, zinc, steel and platinum group metals (PGMs) touched multi-year lows towards the end of 2008 and the start of last year, before recovering on governments’ incentives worldwide. This also helped car sales in the second half of 2009 and beginning of 2010.

But as scrapping schemes and other support incentives ended, car sales started to be impacted again, especially in Europe and Japan.

— @allthingsmitch

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: