New car sales set to roar past 100,000 as market rises 30%

New car sales are roaring ahead and are set to “comfortably exceed” 100,000 this year for the first time since the economic crash, as purchases soar by almostone third.

New statistics released by the Society of the Irish Motor Industry show there were 29,948 new car registrations last month — up 31% compared to January 2014.

The group now expects sales for 2015 to “comfortably exceed” 100,000 at the end of the year for the first time since 2008. Light commercial vehicles, currently up by 70% (4,839) in January, are expected to exceed 20,000 also for the first time in six years. HGV (heavy goods vehicle) registrations are down 37%.

Economist and author of the review Jim Power said that providing political and economic conditions remained stable, new car sales could hit 120,000 during 2015.

“After a number of very difficult years for the motor trade, the strong growth in car sales reflects improving consumer confidence and spending across the country,” he said.

“While we have not reached the highs of 2008, consumers are showing more confidence in the market and the indications are that we will continue to inch upwards this year provided economic and political conditions remain stable.”

The president of SIMI, James Brooks, said the motor industry generated €965m for the exchequer last year and helped create an additional 3,800 jobs since 2013.

“We hope that the improved business environment and the continued support of the Government will let the motor industry rebuild itself and will aid its recovery further in 2015,” he said.

The study found that last year, 96,344 new car sales were recorded, up 29.6% on 2013. This resulted in a €965m contribution to the exchequer.

The SIMI study also found that over one third of the cars on Irish roads are over 10 years old and 40.5% of cars are between five and 10 years old, with just under 25% five years or younger.

The strongest growth in new car sales for January was in Louth with a 43% increase on last year. New cars sales are up in all counties, with the largest share of new car sales in Dublin.

The report made for good reading for Toyota which was the most popular car brand sold in Ireland, with 13% market share. A total of 3,866 Toyota cars were sold last month — a 38% increase on 2014. The Toyota Corolla, Yaris and Auris were all in the top 10 most popular models sold in January.

Volkswagen, Ford, Hyundai, Nissan were the other top-selling brands. The top selling models were the VW Golf, Ford Focus, Toyota Corolla, Ford Fiesta, and Hyundai IX35. The top selling van was the Ford Transit.

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