A torrid year in the car sector
THE impact of Brexit on Sterling is being blamed for a difficult year for the Irish car sales sector, with the sale of new cars falling dramatically as customers opted for cheaper British imports.
New figures released by SIMI – the Society of the Irish Motor Industry – reveal that after a decent 2017, new car sales fell significantly in 2018.
Nationally, new car registrations for 2018 finished at 125,557, down 4.4 per cent on the previous year.
In Kerry, new car sales were down by 5.67 per cent on 2017 with 2,660 new cars registered in the county last year compared with 2820 the previous year.
By contrast, national sales of imported vehicles, many made considerably cheaper by the weakness of Sterling, soared by 7.8 per cent and breached the 100,000 registrations mark for the first time ever.
SIMI Director General Designate Brian Cooke believes Brexit has been a major factor.
“Despite the strong economic performance of Ireland last year, 2018 proved very challenging for new car sales. The drop in new car registrations is largely a result of Brexit and the associated weakness of Sterling. This has led to a surge in used car imports over the last two years, and 2018 saw used imports surpass the 100,000 mark for the first time,” he said.
Despite the difficulties facing the sector, Mr Cooke remains positive.
“The Motor Industry is however, as always, forward looking, and with the new 191-sales period now commencing, January and the first quarter will be the key focus for dealers,” he said.
“In this context, the new car market is hugely competitive, with a wide choice of models and creative incentives, as well as the availability of a variety of financing options. For consumers looking at the used-car market, whether an Irish car or a used import, SIMI’s advice is to shop around and consider the real benefits of shopping in your local retailer,” said Mr Cooke.