Car Sales Tumble in Southern Europe

Registrations of new passenger vehicles in France dropped 16% year on year to 165,200 units last month, industry group CCFA reports. March sales also fell 5% in Italy and 14% in Spain.

In France, volume last month plunged 24% to 45,500 vehicles at PSA Peugeot Citroen and 8% to 39,400 units at Renault Group.

Sales in Italy slid 132,000 vehicles in March from 139,400 units a year earlier, the country's Transport Ministry says.

Fiat registrations in its home market rose 5% to 38,000 units last month. The company notes it benefited from the comparison to unusually low volume a year earlier caused by a transportation strike.

Demand in Spain dropped to 72,700 vehicles last month from 84,400 units in March 2012, according to trade group ANFAC. The group blames tight credit, the country's recession and revived European debt worries for the decline.