Europe: Spain and Italy see double-digit sales increases in June image

The Southern part of Europe is boding well this year for the auto industry, with the countries that were once cash-strapped now finally benefiting from the overall economic recovery.

New vehicle registrations in Italy, the fourth biggest market on the continent, jumped 14.4 percent last month from the same period last year to 146,682 units, reported recently Italy’s transport ministry. Fiat Chrysler Automobiles took the lion’s share of the market, holding around 28.4 percent of deliveries – though it was slightly down from the figure seen in May.

Additionally, Spanish new car deliveries skyrocketed 24 percent to 111,333 autos in June, for the 22nd continuous monthly growth rate and came after May sales jumped 14 percent. The high deliveries have been supported by the Spanish-government funded and backed incentive program – consumers were enticed to get rid of older, polluting cars in favor of efficient new vehicles and the boost has been present across the Spanish market for the past two years. In May the scheme received its seventh renewal and cash infusion, with 225 million euros ($251 million) to spend on new vehicle purchases. Under the system, owners of older, scrapped cars, receive a bonus of 2,000 euros when they purchase a new one, half from the government and the rest from the automaker. According to auto manufacturers association Anfac, Spanish vehicle sales during the first six months of the year jumped 22 percent to 555,222 units.

Via Reuters, Automotive News Europe