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Image header Agence Europe
Europe Daily Bulletin No. 11098
Contents Publication in full By article 31 / 32
BUSINESS NEWS NO 107 / (ae) cars

Emerging economies no longer pushing growth. Following a first disappointing quarter, LMC Automotive Consultants point out that the emerging economies are no longer behind the growth in car sales, as has been the case over the past ten years. It also revised its forecasts downwards for most developing countries. In Brazil, LMC Automotive Consultants is now forecasting a market contraction of around 4% this year, after, six months ago, it had forecast expansion of almost 5%. In Russia, the situation is even worse and it is no longer growth of 5% expected but a fall of almost 9%. India, however, is expected to increase its growth in the number of cars sold but will have to settle for estimated growth of just 3%. In Argentina, the scenario is at its very worst: instead of a slight 3% increase, LMC Automotive is now forecasting a fall of 27%. The Chinese market is the only one that is continuing to grow but at a much more moderate pace than in the past (+10% in the first quarter). According to the consultants' forecasts, traffic restrictions related to more responsible environmental policy have clearly had an impact on car sales in this country. With market growth 8% above expectations in the first quarter, Europe has provided some rather positive surprises after a number of disastrous years, whereas the North American market remained stable. (IL)

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BUSINESS NEWS NO 107