The recent statistics from Europe shows a rise in car sales during 2014 in the region after six years. Industry trade association ACEA states that the European region witnessed a rapid increase in the sales volume of cars for the first time in six years.
The sales volume accumulated to be 12,550,771, showing an increase of 5.7% during 2014. The increase in the sales was a result of the government’s scrappage schemes. The European market for cars also witnessed the trends for wholesale orders from the companies, which resulted in the increase in sales volume for cars in the region.
Countries such as UK and Spain saw increase in the car sales with 9.3% and 18% respectively and some of the cheaper brands such as Skoda and Dacia reported the highest sales during this period. As per the ACEA statement, the European market for cars showed an increase of 4.7% in the sales volume in December and which was reported to be the “16th consecutive monthly rise.”
The report further stated that the European car industry would still remain thoughtful regarding the growth prospects this year due to the end of some tax breaks and incentive schemes. However, the European market still has some hopes as the Spain government extends the incentive scheme, named Plan PIVE. The scheme offers price cuts for the consumers on the purchase of new low-emission vehicles.
"We remain cautious about the ability of new car sales to return to their pre-crisis levels by the end of this decade. Furthermore, car sharing and other alternative trends of urban mobility are expected to gain relevance in the market amid shifting consumer preference,” said Peter Fuss, an automotive analyst, business services group E&Y. He also stated in his research note that the sales volume for cars in the European market is expected to register a 3% increase during 2015.