European car sales end 2005 with decline
European new car sales fell 3.9 percent year on year in December due to the fewer working days in almost all countries.
The Brussels-based European Automobile Manufacturers Association (ACEA) indicates that European car sales dropped from 1.11 million units a year earlier to 1.07 million units in December 2005.
ACEA said that the drop in December also confirms the sluggish market conditions in the last quarter.
Full-year 2005 sales slipped 0.7 percent year on year to 15.22 million units as Western
Europe held nearly steady and an influx of used cars triggered a 10 percent slump in Eastern
Europe.
The
UK market,
Europe's second largest after
Germany, contracted 5 percent in 2005 due to the high interest rates and flagging consumer sentiment. On the other hand,
Germany,
France and
Spain posted increase in car sales.
European car sales are expected to increase only 1.3 percent in 2006.