Scrappage scheme boosts German new car sales

April 3, 2009 | By | In Statistics

Car sales are booming in Germany, thanks to a Govt- backed new cars for old plan.

Germany’s car sales for jumped by 40% over last year’s – and much of that rise is down to the country’s new-cars-for-old scrappage scheme.

German buyers snapped up 401,000 cars last month, figures for car import body VDIK showed. These figures have been boosted by a scheme backed by the German government. Buyers of cars that are new or up to a year old receive just over £2000 if they scrap a car which is at least nine years old. So far, Germany has ploughed £1.5bn into the scheme, to support the auto industry.

The UK car industry has lobbied the government to introduce a similar plan. Although sceptical at first, Ministers now support such a scheme and it is expected that Alistair Darling will announce one later this month, with an expected start-date in June.

Italy also has such a scheme and car sales there are also riding high. However, not every car maker is fully behind such schemes. Mercedes-Benz is among those who have raised doubts, predicting that there would be a marked slump in sales once the rebate ended.

Social media & sharing icons powered by UltimatelySocial

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.