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CAR SALES IN Ireland were down 10.5 per cent in March, bringing the total decrease for the first three months of the year to nearly 14 per cent.
While 45,840 cars were sold during the first three months of 2012, just 39,498 cars have been sold this year to date – a drop of 6,342.
The biggest drop of the year to date, when compared with 2012 figures, was January, when sales were down nearly 20 per cent.
In March alone, 1,369 fewer cars were registered.
Broken down by CO2 emission category, the lowest level (band A) was the only one to see an increase in sales, up nearly four per cent on March last year
Commenting on the overall results for Q1, the director general of the Society of the Irish Motor Industry (SIMI), Alan Nolan, said that this represented a “crucial period” for the motor industry, with half of all new car sales usually taking place during this time.
“Based on current figures, we’re predicting a new car market of 70,000 this year, slightly down on our original expectations,” he said, adding that the reduced estimate was a reflection of a “very tough marketplace in the sector.”
The Industry must sell cars that were ordered and in the pipeline for this year based on the original expectations but a bad experience this year is likely to lead to a much more conservative view of next year’s market and this will impact on tax revenues next year.
At the moment, though, all of this is good news for the consumer with very strong offers available on new cars and with a shortage of good quality used cars in the market-place trade-ins are in huge demand.
Most popular
Volkswagon is Ireland’s most popular brand, despite sales for March dropping by nearly eight per cent. The best selling model is the Volkswagon Golf, with March sales up 8.54 per cent.
Nissan’s Qushqai is the second most popular model, despite a drop in sales of nearly 50 per cent based on March 2012.
Ireland’s number plate system changed this year, with cars bought between January and June (inclusive) starting with 131 and cars bought from July onwards starting with 132.
Those within the motor industry hoped that this change would help spread car sales more evenly throughout the year.
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Hard to buy a new car when you have no money.
The Germans end up with the money anyway, rabble rabble bondholders rabble.
Emily buy a Toyota or Honda so,as for “rabble” whats the reference?
Waffle waffle stimulus waffle recovery, blah blah corner U bend, head on collision. Grrr 131
@ Norman. The rabble reference is from South Park, it is the noise the towns people always make when they start complaining, usually at the mayor. RABBLE RABBLE RABBLE.
Audi Finance is a trading name of Volkswagen Bank GmbH,
Volkswagen Bank GmbH, Branch Ireland are authorised and regulated by The German Regulator,
When you buy and Audi or Volkswagen the money does end up in Germany.
So the new number plates were to spread sales through the year and we see signs that this might be happening and it’s not good. Or am I missing something?
They must have thought that it would multiply car sales rather than divide sales over the year!
It means that they expected that people would not wait until after Xmas to change their car and do so sooner. That would bring forward sales once.
Scrap VRT for a start.
Especially as it’s a complete con and in violation of the EU idea of being able to buy any product anywhere and ship it across borders. They could add the income lost to fuel duty.
Seams the new plates didn’t work as expected. Damn superstitions.
The idea of the new plates was to decrease car sales in the first quarter but increase them in the third quarter. Their intent was never to increase overall demand
Much ado about nothing.
When did FG start supporting Healy Ray policies anyway?
David, tough crowd today. More red thumbs than green for a statement of fact. I will give you a green.
I get this site now, Dave Higgins automatically is wrong even when he is kind of right, like here
The whole idea with the new reg was dum.
Isaac, I didnt know that about David Higgins. Sorry David. Have to give you a red now to balance things up.
Agh Ben but I already gave you a green thumb for the comment in which you gave David a green thumb. Do I now have to give you a red thumb to balance it out? You’re right it’s tough in the comments section today.
The journal.ie has a very fickle mob. Statements of fact can get you an avalanche of red thumbs.
Balance the red/green thumbs on this comment. GO!
Red from me David, you are just too needy.
David – sort of right, number plates changed for 1st quarter to negate superstitious types. Second qtr figures will be key whether or not this number plate project is a success or not.
Edit- should be 3rd qtr not 2nd
Hang on here. Is the idea not to bring FORWARD car sales in the first year it happens, not decrease them in first quarter and increase them later on. There is a difference.
Now William, don’t be spoiling the spin.
This is what happens when people don’t know what to do, its called tinkering around the edges, always makes a mess.
The govt. dropped the road tax on ‘clean cars’ (i.e. 2008 cars and newer) in order to kick start sales, this worked for a while until they went back on their word and increased the tax on these cars as well (different govt. I know). I’m pretty sure if everyone started buying Band A cars , this would be the category hit by the next budget for an increase. So the biggest problem I think is consumer confidence and trust, especially when the government are dreaming up of new taxes and charges every couple of months. As for me I’m sticking with my 03 WV Passat I own it and I know how much the TAX costs, the annual NCT test is a pain though.
passats are great cars too! keep service up to date and that car will keep on going! better still if its a diesel!
No value whatsoever in this country buying cars. Cross the boarder or the water and bring it back. Saves loads overall
Not sure if there is a whole lot of value in that at the current exchange rate. Some cars with low emmisions you can still do ok on but the Euro needs to be down to about 1.10 to the pound to make it really wothwhile.
I hope those people would be paying import taxes to the state!
The ‘overall’ refers to after importation fees and re reg. Really hate to have to spell these things out but there you go. There is value to be had for sure with the exchange rate
will never understand people buying new cars. my old girl is a 2002 jag xtype. bought in 2011 for €2100. I’ve spent the grand total of €300 on her since and still has only 75,000 miles on clock. yes tax is on high side but she’s paid for so no monthly payment to make. the dealers can keep their plastic fantastic new cars and I’ll stick with my aul bird.
Depends what you’re after Max, it can work both ways. Example I’ve just sold a Civic in Ireland, I would have got twice as much had I brought it to England to sell. I’m now looking for a Transporter which are better value in Ireland. Bottom line it helps to shop around.
With you all the way on that one I have a 99 E230 5 years never missed a beat, But the road tax is ridiculous.
Dáithí, you’re right to shop around. I’m looking for a replacement for my old Golf which has been a loyal servant but is now costing a lot to keep road worthy. Prices abroad (north and yonder!) are better by far for those willing to travel and import second hand.
rather be paying my €828 a year than paying €400 or €500 a month on something that’s losing money every time you pull out of the driveway. big engine mercs, beemers and jags are well looked after by previous owners and mostly have full service records to go with them. pure joy to drive and even if it gave up the ghost in the morning, I’ve still only lost a couple of grand and not €10,000 or more. mechanic that did my last service did full diagnostic check and she’s perfect! hope to get another 4 or 5 years out of her and then onto next one.
F*#k your Honda civic I’ve a horse outside!
I’ve a 12 year old 4L Lexus in the UK in perfect nick. Yearly Car Yax is less than £300 there.
And promote unemployment and put more people on the dole
so much for 131 regs meaning more sales. was a silly idea anyway but im sure someone got big money for thinking it up
Everyone is holding out for the132 now.
The reason or the change (besides superstition about the number 13 :-)) was to spread sales more evenly throughout the year. Typically most new car sales happen in January but the thinking was that if they change the reg in the middle of the year then people will buy a new car in the second half of the year, a typically quieter time for car sales. I think that’s what the grand plan was.
It doesn’t appear to have been thought out very well though. If someone buy’s a new car, it’s now only going to be considered new for a maximum of 6 months versus 12 months before the change. I know it’s just a digit changing on a number plate but it’s also perception from the buyers side. Would it be fair to say that this number plate change makes new cars depreciate faster?
they have a similar 6 month system in the uk for quite a while now. Nobody had to think this one up. It was already there.
Lets wait till the end of the year to see how the second half turns out. Only than can it be judged how well or badly the 131/132 system has done.
But what is the point of waiting for the 132 reg plate, when in six months it’ll be replaced by the 141.
You’re right. Best wait for the 142.
No no no you are all wrong, wait until 151.
No in fact im wrong wait until 152.
I’m waiting for the iPhone 10 to come out.
It should be possible to buy a reg, To swap a 00D to a 02C and so on, But SIMI will block this.
Really? Not too sure about that. Think most people are holding out until they have more money. Don’t see that changing in the second half of this year.
An I missing something, Ireland has a motor industry !!!
Car sales down 14 %, but bitching by the car industry up 15%, so that’s something isn’t it.
This is one sector I have no sympathy for!
Thanks, My husband works in car sales, we all have to eat you know
I think he means the sector / industry not the people actually selling the cars.. It’s not like they make up the rules on reg plates & VRT ect .
Disregarding the year 2000 (millennium bubble) and the unsustainable tiger bubble years of 2004 – 2008 how do these numbers compare with the average sales per year over the last 10 to 15 years? If they’re not far down then I’d say they are as good as can be expected.
You don’t need to go to spec savers to see… we’re being ripped of here in the land of saints, scholars and greedy ba5tards
Hilary
Correction
greedy Government ba5tards
This idea to introduce a new number plate system was stupid from the start, its great to see that this has fell through as expected. Hopefully the next time people intend to introduce or modify a new way of doing things based on superstition, they should think first.
Liam, less to do with superstition and more to do with hoping to spread sales out over the year. The system hasn’t fallen through as you indicate If anything, it is doing what any right minded person would have thought.. We wont know if it has worked till the second half of the year when the 132 plates come in. Usually there are practically no sales in the second half of the year, so if sales have dropped in the first half, as indicated in this article, but consequently increase in the second half of the year (based on the second half of last year) then the new system will have achieved out what it was set out to do.
The retailers should not be whinging. They wanted this change in the plate system. So they had to expect a drop off in the first quarter.
@ Ben Thomas – They clearly did not think this through, the main reason was to do with the superstition of the number 13 as this ill-founded superstition that has been around for a long time, for example it is estimated that between 17-21 million Americans fear Friday the 13th which costs the U.S. economy $800 – $900 million on every Friday 13th.
The Irish government feared that this could be the case as well in Ireland so they choose to bring in this new system to curtail any fears by the public into buying new cars. Of course there is no evidence to back up the claim that the number 13 is unlucky so they decided to hack on the idea of spreading sales across the entire year. You say that “Usually there are practically no sales in the second half of the year” and this is true but from the governments perspective if they did not make this new system there would be next to no car sales for the entire year because of this foolish superstition and that is the case.
Liam. Absolutely agree with you that it is a foolish superstition. For me it up there with belief in God or the easter bunny, but I suppose there are those who do believe and are superstitious. I might think its silly but its hard to change their mind and each to their own in any case.
If the government brought it in for this reason (potential reduced sales) I could understand, even if I think its silly.
However, to say they didnt think it through is too early to say. If sales do pick up in the second half of the year then it will have given the motor trade a more even flow of sales for the year.
We simply do not know if this system of splitting the plates into 6 months is working yet.I would like to know the view on it in the motor trade in the UK as its in there for a good few years now.
Liam, so what happens the to 800-900 mil? Gets burned does it?
@ William Grogan – Eh… No It does not get “burned”, it is a loss of revenue, if the people in question are not available to work or won’t work, then productivity is reduced which leads to a loss in business (this usually happens when people can’t or won’t work).
Liam, there’s lies, damned lies and statistics. Don’t believe everything you read.
Cars are a rip off in this country. Simple as.
Car Tax in Portugal is about €35 per year but they have an equivalent to VRT. Fuel is 10% dearer.
03 D ! said before..drive her till she stops!! only 78000 on clock! paid for!
Shock shock horror.
The female of the species is more deadlier than the male.
jeckyll and hyde join the back of the queue
Oh, she deals in witchcraft
And one kiss and I’m zapped, oh
The biggest problem is VRT. It makes cars here some of the most expensive in Europe. The government need to slash it in half if they wish to get people buying New cars. At the moment you have the laws of diminishing returns. Less people buying = less tax take.
Slashing the VRT would crucify the used car market…. but it still needs to be done (maybe incrementally?). God knows its too cold on the bike!
From reading everything here it’s obvious we need a Second-hand Registration Tax. This will be required to ensure all the old cars sporting …10/11/12 can be updated into the new format 10{1,2}/11{1,2}/12{1,2} etc. Ensuring greater transparency of the second hand car market.
Also this will be followed by an Air filter metering scheme. Ensuring that we don’t waist good Oxygen on cars.
Why cant we just have a number plate system that dose not have the year on it.
Would this not spread the sales out over the twelve months of the year.
Have a plate that you get when you pass the driving test and keep it for each car you buy….
We need to see a whole year’s sales to make a proper comparison. There should be a lift in the third quarter when the 132 plates come in.
I don’t think people are going to be codded by the 131 / 132 thing. The average Irish consumer is a more savvy beast than the ones of 2000 – 2007.
July will be no different to last year.
Although people in MT would like to believe it will make a difference, they know it won’t. There might be a slight increase in July at May and Junes expense but the year will finish as it started down between 15 and 20%
As soon as government stop milking this business dry and give it some real support then you might see a change in direction.
How many more business will they have to close and people out of work before the realise that their approach to the trade is not working.
Cars in the past 10 years are coming with high milage manufacturers warranty and out motorway network are adding to the life of cars.
There is very little trade in value on vehicles over 5-6 years lod so people will drive them until the wheels fall off,as long as they pass the NCT they will keep them.
I would rather pick up a 5-6 year old car for about 6-7k than invest in a new car.
When my pajero needs to be put down (last one had 575,000 k before I had to get it put down) I will replace it for less than 2k.
Mind you we have a 1991 RX7 (in mothballs and due out soon).
Balls to the NCT scam. Haven’t done one since 2002 and I don’t intend to. Car gets serviced regularly by a qualified mechanic and that’s good enough for me.
5 penalty points!
Get rid of vrt and reduce motor tax and you will sell more cars, it’s a no brainer really!
Get rid of all tax, 95% of the civil & public service and all the politicians, privatise everything and we will all be far better off, except for the dossers, time-servers, commies, trade union officials, the jobsworths, the con artists etc…
PS Russia has 13% VAT, 13% Income Tax and 13% corporation tax.
Didn’t they complain that car sales were spread out unevenly over the year, everyone was rushing out to buy new ’13 cars and introduced a new liecence plate system to stop that…
Seems like they got what they wanted they were just hoping to have the best of both worlds. A huge new year rush AND continuing sales throughout the year
Enda. So Leo, tell me what is feckin happening? You said this 131 idea would boost car sales and bring in loads of extra taxes.
Leo. (all excited)I have just issued a statement Taoiseach, all the media are carrying it, everybody’s talking ….
Enda. About 131, 132?
Leo. No, about my latest brainwave – a seat belt for dogs.
Enda. ((looking towards heaven) Oh sweet mother ….
Why don’t the media provide us with some analysis of the figures
There is a 14% across the board drop
Is there a 14% drop in high end cars or is that end of the market doing well
have your say