Europe’s new car market continues to slow, ends Q2 down on 2011

• Europe’s new car sales declined by 2.0% in June, and 6.6% year-to-date compared to last year

• Italy and Spain recorded a drop in unit sales during June

• Volkswagen’s Golf maintained its position as Europe’s top performing model

July 19, 2012: According to the latest analysis from automotive intelligence provider JATO Dynamics, the European new car market continued to decline, although June’s fall in sales was less than in previous months this year.

JATO’s key findings:

• The European new car market declined by 2.0% in June

• Of the Big Five markets, Germany and Great Britain recorded increased sales, and France a small decrease, while Italy and Spain recorded significant declines in sales

• Three of the top 10 brands recorded an increase in June sales

• Renault’s Mégane climbed to fifth place, due to taxation-influenced sales in the Netherlands

Only 11 of the 30 European countries included in the analysis experienced sales growth in June compared to the same time last year, with the most notable jump in the Netherlands where 76,813 units were sold in June 2012 compared to 50,493 during the same period last year. In contrast, Italy experienced a drop in unit sales, 128,967 in June this year compared to 170,771 in June 2011.

Sales by Market



Within the top 10 brands by volume, Volkswagen retains its place, ahead of Opel/Vauxhall and Renault while Ford and Fiat suffered the largest percentage fall in sales compared to last year, down 17.2% and 18.2% respectively. Not helped by the drop in vehicles sold within Italy.

Of the top 10 brands, only Volkswagen, Audi and BMW recorded increased sales in June compared to the same month in 2011. New and revised models including VW’s Up, Tiguan and Beetle, and Audi’s Q3 and A6, have largely driven these increases.

Just outside the top 10, Skoda, Toyota, Hyundai, Nissan and Kia, in 11th to 15th places, all recorded improved sales in June. Hyundai and Kia recorded the largest of these increases, up 23.2% and 18.9% respectively.

Top 10 Brands



The Volkswagen Golf (pictured above) continues to be Europe’s best-selling car, despite sales falling 4.2% compared to June 2011. The Opel/Vauxhall Corsa and Volkswagen Polo take second and third places, also despite reduced overall sales. The Renault Mégane continues its rise, achieving fifth place in June, thanks to the success in the Netherlands of the 1.5dCi 110 ‘Energy ECO2’ version, which has significant tax advantages over competitors due to its low 90g/km CO2 emissions.

Outside the top 10, new models such as the Peugeot 208 and Volkswagen Up, and new-generation products such as the BMW 3-series and Mercedes-Benz B-class are recording the greatest increases in sales.

Commenting on the findings, Gareth Hession, vice-president, research at JATO, said: “The performance of the Mégane demonstrates how CO2 taxation can have a major impact on the customer’s choice of car. With the EU pushing for lower CO2 emissions for 2020, this is a trend that will continue to influence the market.”

Top 10 Models



Data source: JATO Dynamics