LMC revises 2014 Western Europe forecast slightly up image

After the western European markets finally saw some growth in 2013, with around six consecutive months of growth – the return to better prospects of the new car sales have prompted market researcher LMC Automotive to revise its 2014 forecast.

LMC decided to change only marginally its January forecast of a 2.7% overall growth for Europe to 3% now, but it also suggests that’s the minimum they expect.

“The outlook for 2014 is for a solid improvement of 3 percent on the previous year, with potential upside if the German and Spanish markets can sustain recent form,” said Jonathon Poskitt, LMC Automotive’s head of European sales forecasting. “Following a weaker seasonally adjusted annualized rate (SAAR) in January – itself a consequence of the strong finish to 2013 – the February selling rate headed in the right direction once again, climbing to 11.9 million units a year,” Poskitt added.

For the whole Western Europe, both January and February recorded a new car sales increase of 5%, with good prospects for the full year for Germany – the biggest market. The situation in the UK continues to shine, while Spain – a market terribly hit by low employment – also has good perspectives. Problems remain for Italy, while France was the only one to record last month a decline compared to February 2013.

Via Automotive News Europe