Eurozone crisis shrouded in global auto sales slowdown

According to the information of the Ministry of Commerce, the Bank of Nova Scotia’s global economic research report recently pointed out that the global automobile sales annual growth rate is 3%, but it is down 5% from the first quarter. The preliminary report in May showed that car sales have further slowed down and sales will be overshadowed by the crisis in the Eurozone.

China’s economic growth is also slowing down, but China’s auto sales will rebound and perform strongly. As the Chinese economy will shift from investment growth to household demand, sales of commercial vehicles, especially heavy trucks, will remain weak. The report said that although China's per capita income has risen sharply, the penetration rate of domestic cars is still very low. There are only 58 cars per 1,000 people, and only 1/10 of the 7 major industrial countries.

It is reported that European automakers will expand their assembly capacity to 4.2 million units in 2013. The rapid rise reflects the rapid development of the luxury goods market. Sales of German luxury brands in China have surpassed US sales, soaring by 37%, which is three times that of the United States.