European market Forecast in 2016 (PC+LUV)

 

In 2015 the European car market 29 countries (PC + LUV) should experience a growth close to 8% compared to the previous year. The reboot of the European market will therefore happen much faster than expected.

According to economic forecasts of the European Union, Europe (29 countries) should experience a GDP growth of 2% in 2016, reflecting a combination of beneficial factors: Oil prices which remain relatively low, a steady global growth, the euro which has continued to depreciate, and supportive economic policies in the EU. 

In 2016 Inovev expects an increase of 3% of European market. The European market should be greatly supported by Southern European markets (Spain and Italy), currently going through a catching up phase, and will also be supported by Eastern countries as they have a motorisation rate which is still quite low. The share of mature markets (Germany, Great Britain and France) in terms of European growth should be lower.

Nevertheless, one should keep an eye on some countries in 2016. This is the case of Spain, whose PIVE plan, which led to a sharp increase in sales in 2014 and 2015 (+ 20% per year), will probably be stopped. This is also the case of Great Britain; the strong growth of recent years (+ 10% per year) will likely be weaker, as it is already the case in 2015.

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