Drop in EU's new car prices suggests "healthy competition" between manufacturers
According to the study, a total of 24 EU countries recorded a fall in new car prices, with the decline particularly marked in Slovakia (-17.4%), Bulgaria (-13.5%), Slovenia (-11.6%) and the Czech Republic (-9.0%), while Poland decreased by 5.6%.
Amongst the large markets, new car prices decreased most notably in the UK (-3.7%), while Germany, Spain and France experienced more moderate price reductions (-1.9%, -1.6% and -0.9% respectively).
The Commission says that the fall in real car prices across the EU is part of a trend that has been continuing for over a decade and indicates that competition between car manufacturers on the market for new cars is working.
The new car price report also shows a narrowing in price differentials for new cars in EU in 2010, which is a "positive indicator of cross-border competition," according to the Commission. However it says that the differences remain big in some cases, pointing to large savings for consumers shopping across borders.For more of the latest industry news, click here.