In the new EU member states, where car density is still much lower and many households have been able to afford buying a new car only recently, a steady growth was recorded throughout the year (+14.5%).
Western European 2007 figures were to a great extent pulled down by expected slowdown on the German market (-9.2%). Due to late 2006 rush in purchases ahead of January 2007 VAT increase, 320,000 new cars less were registered in 2007.
Also in Spain, where scrapping incentives (Prever Plan) were extended until the end of 2007, demand for new cars further declined (-1.2%).
Government incentives and promotional campaigns had a positive effect on the Italian market, where more than 160,000 new cars were sold as compared with 2006 (+7.1%).
New registrations in the UK (+2.5%) were mostly driven by private demand, especially for diesel and small cars.
The French market also performed better than in 2006 (+3.2%). Seven new member states posted two-digit yearly growths and only Hungary remained on a downturn trend (-7.8%) in 2007.