SUV’s Dominate Europe As Growth Slows Elsewhere

Tue 26th Jun 2018

The European car market has experienced a month of slow growth according to latest data, but analysts are confident with the market stabilising after a long period of growth.

The data from JATO Dynamics demonstrates that May 2018 was the strongest period of sales in Germany since 2009 and in Spain since 2007, showing that overall volume is at its highest since May 2007 and the YTD figures the highest for this century.

Felipe Munoz, JATO’s Global Analyst, said: “The recent period of sustained growth has resulted in changes in the composition of the market – with the SUV segment growing in significance as the only alternative to traditional segments.

“The increasing significance of the SUV segment is evident in the performance of the market’s latest launches; almost two thirds of the cars launched currently are SUVs, meaning that the market offering and consumer demand are both favouring SUVs, and we’re likely to see more from SUV manufacturers as this segment increases its dominance.

“This, combined with the continued decline of the diesel fuel type is altering the make-up of the automotive market, meaning that we may no longer see the huge increases of previous years as the market continues to stabilise. It will be interesting to see how this trend develops as manufacturers adapt.”

The continued domination of SUVs was reflected in the May figures, whilst growth has slowed in general, volume for SUV’s grew by 24.2% in comparison of 8.5% across other segments.

The Renault Captur and Dacia Duster were key contributors to the growth of the big cars, with Volkswagen’s T-Roc, Citroen’s C3 Aircross and Vauxhall’s Crossland also making a difference.

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