In February 2021, sales of new passenger cars in the European Union (EU) fell by 19.3% compared to the same indicator in 2020 - to 771.5 thousand units.
Such data on Wednesday, March 17, was presented by the European Association of Automobile Manufacturers (ACEA).
As noted in the organization, the achieved February sales rate became the lowest ever observed (since 2013).
“Last month, all four major EU markets showed declines.
The smallest decline was recorded in Italy (-12.3%), while other markets faced a more serious collapse: Germany (-19%), France (-20.9%) and Spain (-38.4%) ", - says the ACEA study.
Experts of the association associate the negative dynamics of sales with the still valid quarantine restrictions in Europe and the uncertainty regarding the situation with the coronavirus.
According to the latest data from the European Center for Disease Prevention and Control, the number of notifications of new cases of COVID-19 increased in the first week of March in 19 countries of the region.
At the same time, 14 states reported an increase in the number of hospitalizations, and another nine - an increase in the death rate.
Against this background, European countries are tightening restrictive measures.
For example, at the end of February, the Italian government extended the ban on the movement of citizens between regions of the state for a month.
At the same time, the German authorities announced the extension of the quarantine regime until March 28.
“As a result of the restrictions, local residents are forced to stay at home and, as a result, their need for a private car is steadily declining.
Moreover, in recent years, the population's income has decreased, so motorists are postponing the purchase of a new car until better times, "Denis Badyanov, an analyst at Alfa Capital Management Company, told RT.
In addition, the observed decline in sales is partly due to the sharp drop in car production in Europe.
This point of view in a conversation with RT was expressed by the chief analyst of the TeleTrade Group of Companies Mark Goykhman.
“The pandemic has affected both sides of the passenger car market - supply and demand.
As a result of the restrictions, the work of not only car dealerships, but also car factories stopped.
Accordingly, production also decreased, which also influenced a decrease in sales volumes, ”the expert explained.
According to ACEA, in 2020 the production of vehicles by European concerns fell by almost 23% or by 4.2 million units compared to the level of 2019.
The largest drop in the indicator fell in Germany (by 1.2 million), France (by 881 thousand) and Spain (by 577 thousand).
© REUTERS / Ralph Orlowski
According to Denis Badyanov, taking into account the current conditions, by the end of 2021, car sales in the EU will, on average, be 15-20% lower than the pre-crisis values of 2019.
At the same time, the weakness of the European car market will put pressure on the industry and economy of the entire region as a whole.
Pavel Sigal, the first vice president of the all-Russian public organization of small and medium-sized enterprises "Support of Russia", shared this opinion with RT.
According to him, before the coronavirus pandemic, automotive equipment was one of the key items of European exports.
As the expert noted, the EU countries actively sold vehicles not only within the union itself, but also confidently increased supplies to the states of the Asia-Pacific region.
For example, China was one of the largest buyers of German cars.
“After the introduction of quarantine restrictions, sales abroad fell sharply.
At the same time, the auto industry was one of the most powerful drivers of economic development in the EU countries.
Therefore, a downturn in this industry could prove to be a serious test for the GDP of the European Union, at least this year, ”added Sigal.
Vaccine for the market
It is curious that against the background of the continuing collapse of sales in Europe, the Russian car market has already begun to recover and has come out in positive territory.
This is evidenced by the data of the Association of European Businesses (AEB).
According to the experts of the organization, in February 2021, sales of new passenger cars and light commercial vehicles in Russia increased by 0.8% - up to 120 thousand units.
Moreover, according to the AEB forecast, by the end of 2021, the national car market will grow by 2.1%.
Analysts interviewed by RT largely explain the outlined revival of the industry by the gradual lifting of the remaining quarantine measures in connection with the mass vaccination of the population against COVID-19.
Moreover, the restrictions introduced in 2020 in Russia were less stringent and long-lasting compared to the EU countries, experts say.
“In particular, we did not have a second wave of quarantines, as in Europe in autumn and winter.
This also contributed to a smaller drawdown of the Russian automotive industry during the pandemic, ”said Mark Goikhman.
In addition, measures of state support also play in favor of increasing demand for cars in Russia, Denis Badyanov believes.
We are talking about the programs "First Car" and "Family Car", which allow Russians to purchase a new vehicle on credit at preferential rates.
“The seasonal factor is also partly affected: at the beginning of the year, prices for a new model range usually rise and there is an opportunity to purchase cars from the previous season with a good discount,” added Badianov.