Car sales in Europe hit a record high in October due to shortages of microchips, the European Automobile Manufacturers Association said in a statement on Thursday.
New passenger car registrations in the European Union fell 30% in October, the group said.
“With 665,001 units sold in the region, this is the lowest volume result for a month of October since records began,” the statement said.
Europe’s biggest car markets suffered “double-digit losses”, including -35.7% in Italy, -34.9% in Germany, -30.7% in France and -20.5% in Spain.
At the same time, demand held up in most of these markets, except in Germany.
October marks the fourth consecutive month of declining car sales this year after a post-pandemic rebound.
“Despite the recent decline in sales due to the continued impact of the semiconductor supply crisis, substantial gains earlier in the year helped keep cumulative volumes in positive territory,” the company said. EAMA.
A recent shortage of microchips has severely disrupted the automotive industry’s supply chain, forcing it to cut production.
Semiconductors are used for driver assistance systems and computerized engine management.
The causes of the shortage are complex, but experts say the pandemic disruptions have exacerbated them.
The chip shortage began last year after factories closed due to COVID-19. When production lines restarted, the demand for technological devices increased, which put pressure on the supply of semiconductors.