Dark clouds over the world’s oldest automaker as its sales effectively halve in September compared … [+]
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Europe’s market for new cars shrank to 1995 levels in September after every major automaker found its production poleaxed by shortages of semiconductors.
Mercedes-Benz, Jaguar, Mini and Alfa Romeo were the worst hit, with their sales roughly halved for the month compared to an already-difficult 2020.
Figures released today by the peak European automotive body, the European Automobile Manufacturers’ Association (ACEA), found new car sales dropping to just 718,598 cars last month, making it barely possible to buy new cars even if people want to, and certainly wiping out any discounts that may have existed pre-Covid-19.
Premium brand Mercedes-Benz was hammered to the point where its new S-Class almost outsold its high-volume C-Class. Its volumes plunged by half (49.9%) in the United Kingdom, and the European Union and its free-trade agreement nations, all down to a shortage of chips.
Semiconductor shortages have wiped billions off global auto production turnover, with companies like … [+]
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Even accounting for allocating the limited chips to the richest model mix, that’s still a massive production strain for the world’s oldest automaker and its dealers.
But Mercedes-Benz wasn’t even the worst hit, with Jaguar sales off 51.1% in September, with its stable mate Land Rover not far behind at 40.7%.
Mini had an awful month, too, dropping 48.2%, Alfa Romeo slipped 46.5% and Volkswagen’s Czech-based brand Skoda felt the strain with a 40.1% drop.
Mercedes-Benz and Alfa Romeo are also in serious negative territory for the year-to-date as well, with the German marque down 7.3% so far this year and Alfa off 20.6%.
There were brands that have ridden out the chip storm pretty well in Europe, including the Hyundai up 5.7% in September and 24.2% for 2021 so far, while its teammate Kia rose 8.1% in the month and 24.5% for the year.
Every major market in Europe felt the strain, with Italy’s sales heading off a cliff at 32.7% lower than in 2020, Germany down 25.7%, France off 20.5% and Spain down 15.7%.
Cumulative sales for the year are still in positive territory, climbing 6.6% to 7.5 million cars and SUVs, with Italy leading the way with a 20.6% gain. In fairness, it became impossible to even buy a new carc in Italy in some months of 2020 due to severe Covid-19 lockdowns.
Spain’s overall year so far was up 8.8% and France grew 8.0%, but Germany’s market has declined by 1.2% this year.
About 12.6 million people work directly or indirectly for the auto industry, or around 6.6% of all jobs on the Continent.
