French 2002 New Car Sales Down

PARIS, Jan 2, 2002; Reuters reportesd that French new car sales fell 0.5 percent in December, bringing the total dip in 2002 to 4.9 percent in line with forecasts, France's industry body said on Thursday.

Carmaking association CCFA said sales of new cars fell 5.2 percent in December on a comparable business days basis, bringing the fall for the year to 4.5 percent. "2002 was a good year for the French car market, (with figures) in between 2000 and 2001, which was the best year of the decade," the CCFA said.

The data came after consumer spending figures for France recorded their sharpest drop in almost four years in November, warning the main driver of growth in the euro zone's second largest economy could be flagging.

The fall in car sales was in line with the CCFA's own predictions, and matched forecasts of key French carmakers Renault and PSA Peugeot Citroen, who had both bet on a drop of around four to five percent for the year.

The domestic carmakers slightly boosted market share in 2002 to 60.6 percent of the market from 60.4 percent in 2001.

Renault, one of only two stocks to end 2002 higher than it started, saw sales slip 3.4 percent in 2002, but saw sales boosted by 12.3 percent in December, thanks to the arrival of the much-heralded Megane II which it has pledged will boost sales and profits.

PSA saw sales fall 10 percent in December and 5.5 percent in 2002.

Crisis-mauled Italian carmaker Fiat saw sales plunge 15.6 percent in December and 20.3 on the year, while total sales by foreign automakers edged 0.4 percent higher in December and 5.3 percent lower for the whole year.