European Car Market Slow & Steady Recovery

In September, passenger car registration in the EU increased by 9.2% YoY, totaling 861,062 units. Meanwhile, looking at the first eight months of 2023, EU registration of new cars increased by 16.9% YoY overall. In Croatia in the mentioned period, passenger car registration reported an increase of 32.3% YoY.

New total car registration per month

Source: ACEA, InterCapital Research

In September 2023, passenger car registration in the EU increased by 16.9% YoY, totaling 861,062 units. The largest increase reported in the EU in September was in Italy, where the absolute increase amounted to 25.4k units, representing an increase of as much as 22.7% YoY increase. Italy is followed by France at 15.2k units (10.7% YoY). Next up is Belgium where the increase was 7.9k (25.4% YoY). Finally, there are remaining major regions within the EU, those being Germany and Spain. Spain reported the least pronounced growth of 1.6k units (+2.3% YoY), while the growth trend in Germany from months before was stalled. Looking at the majority of months before, Germany reported the most pronounced growth. However, during September, Germany noted a flat development with a 0.1% YoY decline during the month.

When observing the first nine months of 2023, the situation is pretty similar – EU registration of new cars increased by 16.9% YoY. However, the previous year was influenced by the semiconductor shortage, which started all the way back in 2021. Consequently, most EU markets showed strong growth compared to previous years. When observing the whole period, each of the major markets within the EU noted a positive development. Germany reported the most pronounced absolute growth (amounting to a relative 14.5% YoY), while the remaining major markets, Italy, France, and Spain follow Germany all noting a strong double-digit growth of 20.5%, 15.9%, and 18.5% respectively, coming both from low base effect & real recovery in the sector. Smaller regions mostly noted double-digit growth. In September, a few smaller countries reported a YoY decrease in units.

Looking at the region, when observing the whole YTD period, Croatia reported an astounding increase of 32.3% YTD, amounting to a growth of 11.5k units. Slovenia reported lower numbers, recording a 4.4% growth, amounting to 1.6k units.

New car registration by power source

Source: ACEA, InterCapital Research

During September, EU battery-electric car registrations increased by 14.3%, reaching 127,149 units, or 14.8% of the market. New EU hybrid-electric car registrations increased by 30.5%, primarily driven by robust growth in the three largest markets: Germany, Italy and France. In total, the hybrid’s market share increased by as much as 4.4. p.p. YoY in September. Further, new EU plug-in hybrid car registrations were relatively stable. EU petrol car market increased by 5.5%, although its market share decreased from 35.3% to 34.1% YoY due to increased demand for other types. Finally, overall the EU diesel car market continued to decline during the month.

Category : Flash News

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