Industry body says new car sales in Europe have been boosted by scrappage
15 July 2009

The success of scrappage schemes has boosted new car sales in Europe, according to industry body ACEA.

Year-on-year car sales in Europe were up 2.4 per cent last month. ACEA said the “steep downward trend” in car sales first started 14 months ago and only now, with the introduction of scrappage schemes, were things recovering.

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Germany was again Europe’s most successful market, with June’s year-on-year new car sales up 40.5 per cent. Italy and France also posted increases of 12.4 per cent and seven per cent respectively.

Declining sales in Spain and the UK were arrested in June thanks to scrappage, with falls of 15.9 per cent and 15.7 per cent.

ACEA attributes the rise of European car sales to the success of scrappage schemes. Carlos Ghosn, CEO of ACEA member Renault, has warned that the withdrawal of scrappage schemes could be catastrophic for new car sales in Europe.

France has already confirmed that it is to gradually withdraw its scrappage scheme.

French scrappage scheme phased out

Renault: “no recovery before 2011”

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