Car sales started to slip in France and Spain, and now is Germany’s turn to face declines in the auto industry.
“The German new car market contracted by around 7 percent in May, adjusted for fewer trading days it remained flat,” VDIK president Volker Lange said.
In April Peugeot saw a decline in French and Spanish markets and also gave up market share in Italy, with registrations down 14.3%. Sales in France dropped 29% and 12% in Spain. Peugeot’s France registrations fell 29%, with a seven straight monthly decline.
“Orders are excellent but we’re a little behind in translating them into deliveries,” said company spokesman Marc Bocque.
Renault also saw a 12% decline in French sales, while Italy’s Fiat fell 18%. On the other hand Volkswagen gained market share with its sales down 12%.
April sales in France and Germany were also worsened by the fact that holidays didn’t fell in the weekend, which reduced the number of sales days. According the CCFA and VDIK, in May, car registrations fell 2.9% in France and were flat in Germany.
“Anyone who thinks the European market will pick up in the second half should take a cold shower,” said Credit Suisse analyst Arndt Ellinghorst.