Peugeot, Fiat, GM Lead European Car Sales Drop as Regional Economy Stalls (16/12/2011)

Demand for new cars has declined by the biggest margin in five months, according to figures from the European Automobile Manufacturers Association (EAMA).

Registrations dropped by three per cent to 1.07 million in November alone, with PSA Peugeot Citroen, Fiat SpA and General Motors among the hardest hit by the economic downturn which continues to play havoc with business and consumer confidence across the eurozone.

Between January and November 2011, the EAMA recorded a total of 12.16 million units registered across the European Union, with declines of -0.3 per cent, -4.5 per cent and -10.6 per cent in France, the UK and Italy.

The German market underlined the relative strength of the country's economy, expanding by 9.1 per cent.

Meanwhile, Spain saw an 11-month decline of 18.8 per cent, contributing to an overall 1.4 per cent downturn for the EU.

Speaking to Bloomberg, Fairesearch GmbH analyst Hans-Peter Wodniok explained: "This minus figure will only get worse in the coming months.

"The inventories will be very full, which wouldn't be good going into a bad 2012."

China Passenger-Car Sales Gain at Slowest Pace in 6 Months as Demand Wanes (09/12/2011)

Demand for passenger cars in China is waning, new figures show, suggesting the industry is not immune to the economic problems being experienced elsewhere.

Figures from the China Association of Automobile Manufacturers show sales rose at the slowest pace in six months in November, with just 0.3 per cent more units sold.

Estimates by analysts had predicted sales would be 0.2 percentage points higher.

Figures are even more shocking in light of record sales in 2010, when there was a 32 per cent increase.

Speaking to Bloomberg, Autoforesight Shanghai Co managing director Yale Zhang explained: "Inflation and gasoline prices are high and the outlook is still uncertain. This has reduced consumers' will to purchase."

The slowdown comes in November comes as Europe recorded the most dramatic fall in sales registrations for new vehicles since June, with three per cent declines.

Over the 11 months to November, total sales fell by 1.4 per cent.

© Adfero Ltd