181 January car sales are down 4.8% on the same period last year
The Society of the Irish Motor Industry (SIMI) has issued the official 181 new vehicle registration figures for January along with their final SIMI/DoneDeal Quarterly Motor Industry Review of 2017.
181 January car sales are down 4.8% on the same period last year, while new car registrations in 2017 totalled 131,355, down 10.4% on 2016.
According to the latest figures, the average price of a new car is down 2%; petrol prices are up 4.2% and diesel prices up 3.6% on December 2016 while insurance costs in December 2017 are 10.9% lower than December 2016.
The average motor insurance costs in December 2017 are now 41.7% higher than December 2013.
The SIMI/DoneDeal Report also highlights a number of price decreases in the cost of motoring.
The average price of a new car in 2017 was 2% lower than a year earlier, while the cost of motor insurance in December 2017 was 10.9% lower than it was a year earlier.
However, the cost of fuel increased with petrol prices up 4.2% and diesel prices up 3.6% last year.
“The report also shows Ireland’s strong economic performance last year but despite high levels of consumer confidence, the Motor Industry faced a significant and uncertain year with monthly declines in new car registrations figures, reflecting the substantial impact of Brexit,” Jim Power, economist and author of the SIMI/DoneDeal Report said.
“Used car imports increased by 29.5% in 2017 aided by the weakness in sterling and this also impacted on new car sales volumes by dampening the residual value of Irish used cars this increasing the cost to change for consumers.
“Looking ahead to 2018 economic factors look positive however Brexit related uncertainty looks set to continue.”
Mr Power went on to say that in normal circumstances, the positive economic backdrop would be expected to deliver growth of up to 10% in the new car market in 2018.
“However, the distortionary impact of sterling weakness and the associated surge in used imports from the UK will in all likelihood more than offset the positive economics,” he added.
“For 2018, the used import market is projected to grow by 20% to reach 114,950.
“New car registrations in 2018 are forecast at 118,220, which would represent a decline of 10% on the 2017 outturn.”
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