West European Passenger Car Market Update: June 2020

3 million fewer new passenger cars joined Western Europe's roads during the opening half of this year as the same period last year   

The West European passenger car market experienced a 24 per cent fall during June compared to the same month last year according to schmidtmatthias.de automotive intelligence provisional compiled data. 

 

This was an improvement on the 57 per cent year-on-year decline recorded during the previous month (May) and a vast improvement on the 80 per cent fall in April which witnessed an almost complete market shutdown in central and southern Europe. All of this culminated in a 53 per cent decline in this year's second quarter compared to the same period last year.

 
Electric cars continue to outperform the total market, UK BEV volumes now larger than Norway's


Early data indicates that once again the pure electric BEV passenger car market continued to rise over the same period last year for a second consecutive month, in a month that witnessed all three major European volume passenger car markets reflect their positions in the electric car market with the UK seeing more BEV electric car volumes registered as once volume champion NorwayThe latest monthly European Electric Car Report is available here

The European Electric Car Report still expects the full-year BEV regional market penetration to double to 5 per cent over full-year 2019 levels (2.5%) bringing 2020 full year BEV volumes to above 0.5 million units for the first time with increased subsidies in France and Germany, signaling a strong increase in the second half of the year.

Opening 6-months fell by -40% y/y

The total passenger car market during the opening 6-months of the year experienced a 40 per cent decline which was a slight 3 percentage point improvement over the opening 5-months period (-43%).

Total market set to experience 3 million fewer new passenger cars entering W-Europe's roads this year


The general consensus across industry forecasters' is that the market will experience a between 20-25 per cent fall during 2020 compared to previous year levels, however, this is dependent on various scenarios such as a second corona wave in the closing months of the year which could once again shutter key production and distribution networks as witnessed during March and April.

Q3 expected to see improvement while Q4 a return to previous year levels according to Volkswagen
 

Volkswagen Group is forecasting a marked improvement in the third quarter over this year's second quarter and fourth quarter volumes expected to meet last year's levels with the entire year set to experience a 20 per cent fall. The German automobile federation, VDA, are forecasting a 24 per cent decline for the region this year. 

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© 2020 by Matthias Schmidt | Berlin, Germany