Growth within the European automotive industry has been subdued during the last few months, according to figures.

Research firm JATO Dynamics said last week that new car registrations grew by 0.11 per cent during September.

Registrations in the year to date were only 0.08 per cent higher compared to the first nine months of 2004.

Whilst Iceland, Denmark and Ireland recorded double digit growth, the UK, Norway and Greece saw falls in September of 3.2, 5.6 and two per cent respectively.

Volkswagen remained Europe's largest car maker in terms of sales, whilst Renault, Ford and Peugeot suffered shrinking sales. Italian manufacturer Fiat saw its registrations drop dramatically by just under a quarter.

Meanwhile, Reuters reported that the French automotive industry body CCFA said that it had seen the worst October for six years. New car sales fell in the state by 5.8 per cent from the year before.

The Italian market grew by 5.5 per cent during the same period, as buyers were attracted by a burgeoning price war between manufacturers. Analysts warn, however, that such moves could be short-term solutions, with the industry facing a difficult period.


Ÿ Adfero Ltd