According to the Economic and Steel Market Outlook 2024-2025/Q2 2024 Report from the Economic Committee of the European Steel Association (EUROFER), automotive output in the EU increased for the seventh consecutive quarter by 2.8 percent year on year in the fourth quarter of 2023, following a rise of 4.8 percent recorded in the previous quarter.
In the full year, automotive output rose by 8.8 percent despite the overall subdued investment outlook.
In the meantime, in the first two months of this year, car registrations in the EU moved up by 11.2 percent year on year to 1.7 million units, with Germany (+11.8 percent), Italy (+11.7 percent), France (+11.2 percent), and Spain (+8.7 percent) recording high single-digit or double-digit gains.
According to EUROFER, demand is projected to remain weak until the macroeconomic conditions and consumer disposable income significantly improve. This has now become less likely given the worsening economic outlook and more subdued economic growth perspectives. However, demand has shown resilience.
EUROFER stated that in 2024 output is expected to drop by 0.4 percent, compared to a 0.1 percent increase in the previous report. Also, output will remain far below the levels recorded in 2018 and 2019. The automotive output in the EU is forecast to rise by 0.8 percent in 2025.