07 Aug, 2020 July surge of UK vehicle sales put rest of Europe in the shade, but market expected to be 28-30% down at year end, according to latest research from GlobalData
Posted in AutomotiveJuly surge of UK vehicle sales put rest of Europe in the shade, but market expected to be 28-30% down at year end, according to latest research from GlobalData
– July UK light vehicle sales totalled *203,000 – a whopping +10.6% YoY increase
– Total UK light vehicle sales market expected to be **28-30% down at year end, according to latest GlobalData estimates.
– Western Europe light vehicle sales in July totalled ***1.3 million, down -1.9% YoY.
July light vehicle sales in Europe provided surprises aplenty, not least in the UK. Without incentives or a scrappage scheme in place, UK sales totalled over *203,000 – a whopping 10.6% ahead of last year. However, the UK market is still expected to be **28-30% down at year end, according to the latest data from GlobalData, a leading data and analytics company.
The UK industry has been vociferous in calling for support for the sector and has looked on in envy as a raft of measures have been announced for the service and hospitality sector.
Calum MacRae, Automotive Analyst at GlobalData, commented: “July’s hike amounted to deferred purchases from lockdown. The result’s slightly curious as one might think consumers would defer until September’s new registration; however, automakers have been very aggressive with incentives and attractive deals look to have tipped the balance.
“As the furloughing scheme ends in October, we’ll start to see a truer economic picture. All indications at the moment don’t bode well for the UK light vehicle sales market, with GlobalData estimates still predicting it to be 28-30% down at year end – more damaged than other European markets that have been beneficiaries of government support.”
In Western Europe light vehicle sales for July totalled ***1.3 million, just 1.9% behind last year’s. The month represented the market’s strongest showing since the onset of the COVID-19 crisis.
The incentive fuelled markets of Spain, Germany and France all showed an improvement in sales. Italy, which is expected to announce a scrappage scheme shortly, narrowed its year-on-year fall to ****10.8%.
MacRae added: “July’s results beg the question if the UK industry is resilient enough without concerted government support? August is a relatively quiet month for sales as the market gears up for September’s plate change. Only by the end of September will we be able to tell if it’s a sustainable recovery.”
* source: SMMT (Society of Motor Manufacturers and Traders)
** source: GlobalData Total UK light vehicle sales estimates, July 2020
*** source: KBA, SMMT, ANFAC, ANFIA and CCFA
**** source: ANFIA