Car market, 124,806 cars registered in July (+4.7%)

Italy Intesa probable contraction in the 2nd quarter for industrial

(Finance) – In July 2024, 124,806 cars were registered compared to 119,247 registrations recorded in the same month of the previous year, equal to an increase of 4.66%. Transfers of ownership were 480,488 compared to 498,970 transfers recorded in July 2023, with a decrease of 3.70%. The overall monthly sales volume, equal to 605,294, involved 20.62% new cars and 79.38% used cars. These are the car market data released by Ministry of Infrastructure and Transport. “After the double-digit increase in June (+15%), in July 2024 the Italian car market slows down its growth (+4.7%) despite two more working days compared to July 2023 (23 days against 21) – states Roberto Vavassori, President of ANFIA -. In the
compared to January-July 2019, the volumes of the first seven months of the current year are still well below pre-pandemic levels (-18.3%). Moreover, the good result of June, largely determined by the incentives of the new ecobonus for zero and low local emission vehicles, was difficult to replicate. According to MIMIT data, the ecobonus platform, accessible from day
3/06, has collected over 25 thousand reservations in the 0-20 g/km CO2 emission range – which then translated into approximately 13 thousand registrations of BEV cars up to 30/06 – exhausting the funds allocated for this range in a few hours. It should be noted, in fact, that the
The market share of electric cars, which rose to 8.4% in June, was 3.4% in July.”

Analyzing in detail the Registrations by power supplythe petrol cars see the July market increase by 3.7%, with a market share of 28.7%, while diesels decrease by 26.4%, with a share of 12.8%. In the cumulative of the first seven months of 2024, registrations of petrol cars increase by 12.9% and those of diesel cars decrease by 21%, with market shares of 30.3% and 14.3% respectively. alternative fuel car represent, in the month of July alone, 58.6% of the
market, with volumes growing by 14.9% compared to those of July 2023; in the cumulative they grow by 10.5% with a share of 55.5%. Among these, electrified cars represent 47.1% of the July market and 46% of the cumulative, increasing by 13.7%
in the month and 10.9% in the seven months. In detail, the non-rechargeable hybrids increased by 17.4% in the month with a share
of 39.9%; in the cumulative they grow by 15.8% with a share of 38.9%. Registrations of Plug-in electric vehicles (BEV and PHEV) decreased by 2.9% in July and represented 7.2% of the market in the month (in July 2023 the share was 7.8%); in the cumulative they decreased by 10% and have a share of 7.2% (down 1.2 percentage points compared to the first seven months of 2023). electric cars (BEV) have a share of 3.4% in the month and 3.9% in the cumulative. Sales in this segment increase by 4.2% in July, continuing the positive trend that began in June, with a reversal of the trend compared to the first 5 months of the year. In the cumulative, the increase in sales is 6.6%. Plug-in hybrids fall by 8.4% in July and also in the cumulative they have a negative sign (-23.9%), representing 3.8% of the
registrations of the month and 3.3% of the total since the beginning of the year. Finally, the gas cars represent 11.4% of the July registrations, almost entirely composed of LPG cars (+21.3% in the month). The share of methane cars is marginal (0.01%), which, in the month, fell by 88.6%. In the cumulative, the methane powered increase by 7% and the LPG grow by 9%; together, in the seven
months, the two fuels constitute 9.4% of the market (of which only 0.1% is methane).

“The current economic scenario, characterised by an expected slowdown in household consumption in the second half of 2024, leads to a slightly downward revision of the estimates for the whole year, even with a trend in car registrations in recent months in line with expectations” notes theUnrae which for 2024 forecasts 1,620,000 registered cars, up 3.4%, but still -15% compared to 2019. “After the acceleration in June, where pure electric vehicles (BEV) reached 8.3% of the total market, the month of July – underlines Unrae – saw a significant contraction, with the return to a stagnant share of 3.4%. Plug-in hybrid cars (PHEV), although slightly recovering on the previous month, stopped at 3.9% of the share: overall, ECVs represent only 7.3% of the market. This result is the clear demonstration of the fact that the current incentives, as set out, are absolutely not sufficient to support growth in a strategic and lasting way aimed at the transition”.

In view of the Automotive Roundtable convened by MIMIT for next August 7th Unrae, representing foreign manufacturers, reiterates the requests – in terms of incentives for demand – necessary to support the energy transition process: Availability of the 240 million in funds that represent the remainder of the incentive allocation for the year 2024, in order to reduce the gap with the most advanced markets. Recovery of the 250 million euros (of the billion of 2025) taken from the Cohesion Decree. Definition of a three-year strategic plan for 2025-2027. Elimination of the price cap for cars in the 0-20 g/km CO2 range or, at least, its equivalence to that of the 21-60 g/km range. “We have clear ideas and we are ready to engage constructively with MIMIT – states the President of Unrae, Michele Crisci – bringing specific proposals to guarantee our country a strategic and structured transition path. Clarity and stability are needed to allow manufacturers to plan investments and consumers to make their purchasing decisions. Given the evident insufficiency of the allocation for the 0-20 g/km range, first of all we expect that the 240 million in residual funds already allocated for incentives can be promptly made available by the Government. Furthermore – continues Crisci – we ask that the 250 million euros foreseen for 2025 and currently taken from the Cohesion Decree be recovered”.

“A fundamental and enabling factor for the energy transition – underlines theUnrae – is the revision of the tax treatment of company cars, with particular reference to the deductibility of VAT and the deductibility of costs, to be parameterized to CO2 emissions, in addition to the reduction of the amortization period to 3 years, a path potentially achievable through the implementing decrees of the Fiscal Delegation, but which UNRAE will also propose again at the Automotive Table” https://www.Finance.it/DettaglioNews/243_2024-08-01_TLB/. “An intervention in this sense – concludes Crisci – would allow us to relaunch the competitiveness of our companies and accelerate the renewal of the vehicle fleet, contributing significantly to road safety and environmental sustainability, thanks to the faster replacement of company vehicles”.

For Unrae the Automotive Table of August 7th “it will also be an opportunity to request further simplifications and facilitations of the procedures relating to the creation of charging infrastructures for electric vehicles and refueling infrastructures for hydrogen vehicles, for a more rapid and widespread development throughout the national territory”.

“The market is generally positive on the wave of government incentives that have been operational since the beginning of June, although with a more moderate growth rate than the previous month, with electric vehicles substantially at par and plug-ins still declining – he declares Massimo Artusi, the president of Federauto, the Federation of car dealers –. Unfortunately, the Ecobonus, even in the recently remodeled version, is not able to stably push very low-emission power supplies and influence the renewal of the oldest fleet in circulation, with the result that after the flash exhaustion of resources in the 0-20 g/km CO2 range, orders have returned to evident difficulty. Without adequate incentives, this type of engine is struggling to establish itself on a large scale on our market and the weakness of the electric market is also evident at a global level with lower-than-expected demand that has led many car manufacturers to adjust their production volumes. Next week – continues Artusi – the Automotive Table convened by Minister Adolfo Urso is scheduled after the one held last February. It will be an opportunity to express our position on the general context of transition policies, on the results of current government policies for the automotive sector and on the approach that the Government must pursue for the near future, both at national and European level, to support businesses and citizens, in the context of the transition. We will not fail to reiterate the centrality of dealers for the proper functioning of the market in terms of competition and safety and the weight in terms of employment and contributions that we guarantee. To facilitate and speed up the modernization of the circulating fleet regardless of the propulsion technology and to give constant growth to electrified BEV and PHEV vehicles, also considering the European ban on the sale of endothermic vehicles from 2035, we reiterate the priority as well as the opportunity, within the framework of the work of the delegation law on tax reform, to review the taxation that weighs on the company car: the only lever capable of guaranteeing continuity, certainty and development of new fuels according to a medium-long term strategy. While, at European level – concludes Artusi – after the installation of the new European Commission, the hope is that we can renegotiate the timing and content of the Automotive Green Deal. The preliminary statements on decarbonisation policies by the newly re-elected President of the Commission, Ursula von der Leyen, were in fact rather brief and disappointing”.

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