New-Car Sales Fall 7% in Europe

Registrations of new passenger vehicles across Europe fell 7% to 1.12 million units in October as sales fell in all five major markets, says trade group ACEA.

Results were hurt by the industry’s transition to Europe’s new WLTP emission certification protocol, which took effect on Sept. 1. The impending shift prompted a surge in sales in July and August as carmakers moved to clear inventories of models certified under the old NEDC standard.

European sales through the first 10 months of 2018 totaled 12.22 million units, up 1% from the same period last year. Analysts warn that the market is headed for a full-year decline.

Deliveries last month fell in Germany (-7% to 252,600 units), France (-2% to 173,800), the U.K. (-3% to 153,600) Italy (-7% to 146,700) and Spain (-7% to 88,400).

The slump hit all of Europe’s mass-market producers. Volkswagen Group, which struggled with WLTP clearances, saw sales in Europe plummet 22% to 225,400 units. Registrations also fell for PSA (-1% to 188,200 units), Renault (-15% to 105,500), Ford (-1% to 76,500) and Fiat Chrysler Automobiles (-14% to 64,600).

Most luxury brands reported sales gains in October. Gains were led by Mercedes-Benz (+8% to 73,800 cars and crossovers), BMW (+13% to 63,700), Volvo (+10% to 25,400) and Jaguar (+58% to 6,400). But demand fell for Audi (-54% to 29,500 cars), Lexus (-5% to 3,000) and Porsche (-64% to 1,800).

ACEA reports that European sales by its Asia-based producers ­fell 4% to 179,400 units last month. Gains by Toyota (+5% to 60,500 units) and Kia (+5% to 40,700) were offset by lower sales for Hyundai (-5% to 40,900 cars) and Honda (-6% to 9,000).