Late start to car scrappage scheme sees car sales down again
The scrapping of cars older than ten years started at the end of
March, but the results of the scheme have yet to be seen in terms
of sales.
Car sales on the Romanian market fell nearly six percent in the
first quarter of this year, to nearly 17,900 units, according to
statistics of players in the car industry. The first-quarter
decline comes amid an over 30% decline in car sales in March, to
7,200 units. The over 30% difference between March this year and
March last year mainly has to do with the car scrappage scheme
being postponed. This year it started on March 18th, while last
year it started at the end of February.
"This year the scrappage scheme took longer to start. The hindrance
now is the "grey" market of vouchers. Those who scrap cars and
trade vouchers are hanging on to them in order to get as high a
price as possible," says Alin Tapalagă, head of Porsche Inter Auto,
the retail division of Porsche Romania, the biggest player on the
market. Tapalagă said those who have scrapped cars or hold vouchers
increased their prices from 1,200 lei last year to as much as over
1,700 lei.
The statements of the head of Porsche Inter Auto are confirmed by
the statistics of the Administration of the Environmental Fund
(AFM). Almost three weeks from the start of this year's scheme,
more than 16,100 old cars have been scrapped, but no application
has been approved by the AFM, so no car has been delivered as part
of the scheme yet.