Exports rise
April 7, 2010
Between January and March of this year, German carmakers exported 1.05 million cars, the German Automobile Industry Association (VDA) said in Berlin on Tuesday. In March alone, the number of exports increased by 51 percent compared to the same month last year.
"The mood in the automobile industry is noticeably brighter," said VDA President Matthias Wissmann. "We're not going to return to pre-crisis levels in 2010, but we're counting on a good year for exports."
German carmakers stand to profit from the dynamic developments observed in growth markets mainly outside of Europe, he added.
Increased foreign demand for cars "made in Germany" has resulted in greater productivity at German factories, which turned out a third (32 percent) more finished vehicles between January and March than in the same period last year.
Domestic demand still weak
That's good news for the industry, particularly as domestic demand for cars remains weak. The VDA announced that Germans registered 23 percent fewer new cars in the first quarter of the year compared to the previous year. In 2009 however, new car sales were boosted by the government's "cash for clunkers" scheme.
The program, which offered cash incentives to drivers who scrapped older cars in favour of newer, more efficient cars, was launched in February of last year and expired in September.
The VDIK group, which represents car importers, said that compared with 2008 levels, first quarter registrations in Germany were down by only 9 percent.
dc/dpa/afp
Editor: Sam Edmonds