2020: “black year” of car manufacturers

FineAuto
2020: “black year” of car manufacturers

In light of the serious economic crisis faced by the automotive industry because of COVID-19, the European automobile manufacturers Association (ACEA) has radically revised its forecast for the year 2020 for the registration of passenger cars to approximately minus 25% compared to the year 2019.

//

It actually means a drop in sales of cars in the European Union, more than 3 million units from 12.8 million in 2019 to about 9.6 million units this year.

After the first shock waves of coronaries from mid-March to may automotive market the EU decreased by 41.5%. It is expected that this situation to some extent will improve in the coming months, as measures of containment and deterrence in the region will be cancelled.

However, from the point of view of volumes, the ACEA forecast for 2020 represents the smallest number of new cars sold in 2013, when the industry experienced six consecutive years of decline after the financial crisis of 2008-2009. Terms of percentage change, the new figures represent the sharpest drop ever observed in the automotive sector in Europe.

“ACEA maintains the hope that this dramatic scenario could be mitigated through fast and decisive action from the EU and national governments,” – said General Director of ACEA Eric-mark Witham.

//

“Given the unprecedented decline in sales to date, incentives for the purchase and recycling schemes are urgently needed right across the EU to create a much-needed demand for new cars. In the interests of our industry and the wider EU economy, we call for the necessary political and economic support at the EU level and at the level of member States – to limit the damage to production and employment in the coming months,” said Witham.

News tags