New car registrations in the German market continued to drop in June to almost 300,000 units.
According to the Federal Motor Transport Authority new vehicle registrations in Germany dropped 4.7% in June, to 300,000 units. During the first six months of the year sales fell 8.1% to 1.5 million units compared with the same period last year. One of the most affected German automakers was Opel which dropped 11% from January to June, followed by VW down 9% and BMW down 7.1%.
Although auto industry in Europe continues to be affected by the debt crisis, high unemployment and record-low demand, top German car makers were able to offset these loses by focusing on overseas markets. Analysts predict that Germany will see a turnaround in its auto industry in the following months.
“Both private and corporate purchases should pick up because of a potential modernization backlog,” said Matthias Wissmann from the industry’s lobby association VDA.
In May passenger car registrations in Germany fell 9.9% to 261,316 units, after an increase of 3.8% in April. The brand which saw the steepest decline was Opel, down 16%, while VW fell 10%, Fiat 11% and Ford 1%.