With the end of 2024 approaching, Europe’s largest new-car markets are working hard to finish strong. While some are on track to meet their targets, others are struggling.
Both France and Italy started the year with promising car sales. Though, consistent declines throughout the year have left both countries in precarious positions.France is almost certain to end the year with negative figures, while Italy coudl face the same fate.
Spain offers a more positive outlook. It aims to reach 1 million new-car registrations in 2024, a goal that seems achievable given the continued betterment in registrations. This would be Spain’s first million-plus figure since 2019 – a important milestone, but it requires a strong performance in december.
Each market faced challenges with battery-electric vehicle (BEV) registrations in November, along with petrol and diesel sales.The category showing growth was hybrids,which helped stimulate market growth and prevent further declines.
France Faces Decline
France experienced its seventh consecutive month of declining car sales in November. after a strong start to the year, new-car registrations have been falling since May, effectively wiping out those initial gains. The latest figure shows a 12.7% drop for November,the second-worst result of 2024. This followed a 10.3% decline in september and a 5.4% drop in October.
France would need to deliver 58,968 new vehicles in December – a year-on-year increase of 32.6% – to achieve overall growth.
Europe Owns Electric Vehicle Market France’s struggles highlight a European trend:
The European electric vehicle (EV) market is facing a slowdown. Hybrids, specifically full and mild hybrids are holding strong. This reliance is concerning, especially with the EU’s stricter EU CO2 regulations looming for 2024.
Spain Stays Positive
Spain, simultaneously occurring, continues to be one of the more reliable car markets in Europe.
In November, it recorded its sixth consecutive month of year-on-year growth, encompassing 96.8% growth throughout the year.
With 83,339 new cars registered, Spain is on course to hit its target of 1 million registrations for 2024. The country needs a further 88,499 registrations in December to reach its saloon sale.
“The market is progressing positively, closing another month with growth."
“In the last quarter there has been a series of upward trends that allow us to be optimistic about closing the year at around one million units,"
While still within reach, December remains critical for the country to cross the 1 million mark, which hasn’t been achieved since before the pandemic.
**“it’s vital to emphasize to citizens that they still have funds available in the MOVES plan.These are valid until the end of the year. This can
be used to purchase electric or plug-in hybrid vehicles,"
ANFAC details will be included in a press release.
The report also details car sales figures for diesel, petrol, and hybrid vehicles, highlighting the challenges and successes in each market.
How are consumer preferences shifting in Europe’s automotive market as it approaches 2024?
Interview with Automotive Expert on Europe’s Car Market Trends: Challenges and Opportunities Ahead of 2024
By Time.news editor
Q: With 2024 approaching, what’s the current state of europe’s largest new-car markets? Are there any notable trends?
Expert: As we approach the end of 2024, it’s clear that Europe’s largest car markets—particularly France, Italy, and Spain—are experiencing varied results. While France and Italy began the year on a positive note, they are now grappling with consistent declines in sales. France has faced a staggering 12.7% drop in November alone, marking its seventh month of decline. On the othre hand, Spain is displaying resilience, recording its sixth consecutive month of year-on-year growth, indicating a more positive outlook in the face of broader challenges.
Q: What are the primary factors contributing to the declines in France and Italy?
Expert: The drops in France and Italy can be attributed to several factors, including economic pressures and a broader slowdown in the electric vehicle (EV) market across Europe. Particularly concerning is the reliance on hybrid vehicles as the primary growth category, especially with stringent EU CO2 regulations set to kick in next year. France will need to deliver a significant increase in new vehicle registrations in December—specifically, a 32.6% rise year-on-year just to achieve overall growth. This creates a precarious situation as the market attempts to recover from these losses.
Q: Spain, however, seems to be on a diffrent trajectory. What’s driving this growth?
Expert: Spain’s progress can be attributed to a confluence of factors, including effective government incentives like the MOVES plan, which encourages the purchase of electric and plug-in hybrid vehicles.The country is targeting 1 million new-car registrations for 2024, a feat that hasn’t been met since 2019. Their ability to achieve close to 83,339 new registrations in November and a growth rate of 96.8% throughout the year signifies a robust market that is capitalizing on renewed consumer confidence and governmental support.
Q: How do hybrid vehicles play a role in these markets, and what does the future hold for electric vehicles in Europe?
expert: Hybrid vehicles are currently filling the gap left by battery-electric vehicles (BEV), which have faced a slowdown. Hybrids are helping stimulate market growth while the full adoption of BEVs may take longer due to infrastructure and consumer hesitance. Though, as we head into 2024, the EU’s stricter regulations on CO2 emissions will put increased pressure on manufacturers to accelerate their transition to electric. This dual focus on hybrids and EVs will likely shape the landscape of Europe’s automotive market moving forward.
Q: What practical advice can you offer to consumers considering vehicle purchases at this juncture?
Expert: For consumers, it’s vital to take advantage of existing incentives, particularly the MOVES plan in Spain, which supports the purchase of electric and hybrid vehicles until the end of the year. Potential buyers should act quickly if they’re considering such options. Given the current market dynamics, it’s a good time to explore hybrid vehicles not just for their immediate benefits but as a strategic entry point as the market transitions to fully electric solutions.
Q: What do you see as the overall implication of these trends for the automotive industry going forward?
Expert: The trends we’re witnessing underscore the need for agility within the automotive industry. Companies must adapt to changing consumer preferences, regulatory pressures, and market dynamics. The sustained growth in Spain reflects a path that other markets may need to follow—leveraging incentives and fostering a consumer-centric approach to navigate through these challenging times. The automotive industry is at a pivotal moment, and how it responds to the current landscape could shape the future of mobility in Europe.
This interview highlights the complexities facing Europe’s automotive markets as they navigate the end of 2024. With differing prospects for countries like France, Italy, and Spain, understanding these evolving trends is essential for consumers and industry stakeholders alike.