Spanish car sales rise in September, but remain down on yearly basis

The sales of new cars in Spain rose by 28.5 percent during the month of September, it was confirmed on Tuesday by the associations of Spanish car manufacturers (ANFAC), concessionaries (Faconauto) and showrooms (Ganvan). Despite a good month for the car industry, overall sales for the first nine months of 2013 are still down on those for the same period in 2012. September saw 45,175 new cars sold, which is 28.5 percent up on September 2012. In September 2012, sales tax on new vehicles rose from 18 percent to 21 percent, prompting prospective buyers to complete their purchases before the rates came into effect. This September's figures also benefited from the fact that there was one more working day in the month that last year. A Spanish governmental initiative to provide incentive for people to swap cars of 10 years old or above for a new ecological model also played a significant role in the upturn. The PIVE initiative was the main factor in the increase in sales of cars to private individuals last month, with 28,295 vehicles sold, 69.4 percent up on 2012. Despite September's relatively positive news, 2013 is proving to be a difficult year for the sector. The first nine months of the year have seen a total of 546,435 vehicles sold, 1.6 percent down on the 555,364 vehicles sold during the first nine months of 2012. The sector believes it has a chance of passing 700,000 sales in 2013, which is better than 2012.