Second-hand car imports increase spectacularly of late

 
During October, registered were some 37,000 used cars, compared with 24,000 new cars, a 9% fall on last month, and a 12% fall compared with October 2007, read data from the Directorate of Car Licenses and Registration (DRPCIV).
At the same time, the market of second-hand cars is prospering, writes daily Evenimentul Zilei, which shows that the registration of second-hand cars rose in Oct, 37%, compared with the previous month, and 140% compared with the same month last year.
 
According to data from DRPCIV, last month registered were 24,438 new cars and 36,747 second hand ones. One year ago, the number of new registered cars was almost double than that of second-hand ones, namely 27,376 new ones and 15,359 second-hand ones.
PM Calin Popescu-Tariceanu warned that the excessive import of second-hand cars will drop the number of jobs in the car industry.
 
“I said six months ago that the excessive import of second hand cars will destroy the jobs (…) Something has to be done and we have to see what regulations we could introduce, because the effects are too great. There are 200,000 people working in this industry and we want to avoid the mistakes made in Hungary, “ said the Romanian prime minister, quoted by the said daily.
In order to support the market of new cars, the Association of Car Makers and Importers APIA is drafting a bill stipulating the removal of restrictions on the number of distributors and trademarks in the programme of renewal of the car fleet.
 
APIA vice-president Brent Valmar believes the project will not be finalized until the end of the year, because of the involvement of the rulers in the electoral process, but a solution in support of the market is imperative, because endangered are thousands of jobs in the car industry.
In the first ten months this year, the number of used cars from import rose 105%, to more than 205,000 units, and the registration of new cars fell 2.5%, to more than 253,000 units.
 
The month of October was a second peak for registration of second-hand cars, after they stood at 37,000 units in July, writes daily Ziarul Financiar. In July, the rise was due to the fact that most people buying a car postponed registration in order to benefit from the change in the calculation of the pollution tax.
In order to counter that tendency, the government thinks to remove the car pollution tax for new cars, which is much higher than that for second-hand cars, ministerial sources told newspaper Evenimentul Zilei.
 
In the opinion of vice-president of the Association of Car Makers and Importers, the market of new cars reports loss more in Bucharest than in the country, as a direct consequence of the fall in economic activity and of recession.
Another problem of the car market was identified by APIA in the shortage of funding and crediting, because banks do not regard well investment in cars.
At the same time, many leasing companies see themselves compelled to take over the cars of insolvable customers, cars that are again put to the market, this time as second-hand ones.
 
In the local market, Opel and Volkswagen are the brands most affected by the rise in the purchase of second-hand cars. In October, registered were only 1,896 new Volkswagen cars and 10,889 second-hand ones.
When it comes to Opel brand, the situation is similar. Last month, registered were 1,471 new cars and five times more second-hand ones, or 7,723.
Much lower registrations of new units in comparison with used cars were reported for Audi, BMW, Mercedes-Benz, Volvo, Alfa Romeo and Smart.
 
Much more registrations of new cars in comparison with used ones were reported for brands such as Dacia (7,778 new, compared with 17 second-hand ones), Chevrolet (738 new, on 13 used), Hyundai (1,077 new, 226 used), and Skoda (1,910 new, 704 used).
According to APIA data, sales of new cars will total, this year, some 275,000 units, while 250,000 units are expected to be sold in 2009.

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