LMC Trims Sales Outlook for Western Europe

New-car sales in western Europe are likely to total a downwardly revised 14.41 million vehicles in 2018, up only 110,000 units from last year’s total, says LMC Automotive.

The market analysis firm previously predicted that volume this year would grow 1% to 14.45 million units. LCM says it lowered its forecast in part because of the prospects of weaker-than-expected economic growth in key markets.

But the main reason is the continuing negative effect of Europe’s new WLTP (world harmonized light vehicle test procedure) certification protocol, which took effect on Sept. 1. The new regulation disrupted production, and September’s annualized selling rate plunged to 11.3 million units, the lowest pace in nearly six years.

Last month’s sales rate rebounded to an annualized 12.6 million units. But LMC says the effect of WLTP continues to linger. The company predicts sales in western Europe next year will grow less than 1%—about 130,000 units—to 14.54 million vehicles.