POLITICS & INSTITUTIONS - ECONOMY

New registrations

Car market drops in July amid pandemic, shortages



In July, 307 100% electric cars were newly registered.  (Photo: Matic Zorman/Maison Moderne)

In July, 307 100% electric cars were newly registered.  (Photo: Matic Zorman/Maison Moderne)

Car sales in Luxembourg fell sharply in July, with 3,984 new registrations recorded by the Société Nationale de Circulation Automobile (SNCA), a drop of 27.6% compared to July 2020 and 16.9% compared to July 2019.

Over the first seven months of the year, the Luxembourg car market remained below its pre-crisis levels. With 29,271 new registrations since the beginning of the year, the market was down by 18.5% compared to the same period in 2019. However, the level of new registrations was 11.3% higher than last year, which was marked by the pandemic.

The decline is identical in the major European car markets such as the UK (-29.5% in July) and Germany (-25%). According to experts, this decline is the consequence of the global shortage of semiconductors, which limits car production at world level. Luxembourg has not escaped this.

For the month of July, we would have to refer to July 2013 to find a lower level of registrations that month.

Volkswagen in the lead

In terms of brands, Volkswagen leads the way in new registrations last month with 556 units. Mercedes is in second place with 419 new registrations. BWM (369 units) and Audi (356 units) complete the top of the ranking.

Since the beginning of the year, Volkswagen has registered 3,673 new cars, which represents 12.5% of all new registrations. BMW, which will have a brand new dealership at the Cloche d'Or in a few months, has 3,050 new registrations in 2021.

As for the French brands, Peugeot is the best performer with 1,851 new registrations since the beginning of the year, ahead of Renault (1,195 units) and Citroën (967 units).

Electric vehicles in demand

In terms of engines, diesel is at a low point, accounting for only 21.94% of new monthly registrations, the lowest level ever recorded. In July 2020, 37.96% of new registrations had a diesel engine. This share was at 44.64% in July 2018.

With 1,645 units out of a monthly total of 3,984 cars, the petrol engine remains the most present engine in new registrations (41.29% market share).

Finally, the electrification of cars continues, as 7.71% of new registrations in July were 100% electric and 28.87% were hybrid cars.

This story was first published in French on Paperjam. It has been translated and edited for Delano.