Spain July 2020: Scrappage scheme tilts sales up 1.1%, Clio repeats at #1, 2008 scores first ever podium

First ever Spanish podium for the Peugeot 2008.

11/08 update: Now with BEV, PHEV and HEV segment volumes and Top 5 models.

After France last month (+1.2%), Spain is the second main European market to return to positive thanks to a generous cash-for-clunkers government incentive plan aimed at reviving an industry battered by Covid-19. July volumes are up 1.1% to 117.929 units, meaning the year-to-date tally is now down -43.4% to 457.782. Note year-on-year comparison are slightly biased by the fact that the source of data for Spain has changed and now doesn’t include LCVs. The Plan Renove 2020 put in place last month is retroactive to June 15 and will be in effect until December 31 or when government funds are exhausted. More detail (in Spanish) here. This plan links government incentives of up to €5.500 for the purchase of cars that emit less than 120g of CO2/km to the scrapping of vehicles aged over 10 years, those being responsible for the majority of CO2 pollution in cities. According to ANFAC, thanks to this plan 11% more vehicles have already been scrapped vs. July 2019. In addition, the average CO2 emissions for passenger cars sold in July hit its lowest point this year – excluding ghost months March and April – at 111.9 grams of CO2/km, a year-on-year improvement of 8%. Still according to ANFAC, the sales boost is already having very positive consequences on the recovery of employment throughout the value chain, with dealerships already having 90% of their workforce back on, equivalent to around 150.000 employees, and a 85% recovery rate in factories. Note the Spanish market absorbs 1 in 4 vehicles manufactured locally, and therefore its good health is a major factor in the industry.

The Renault Clio repeats at #1 in Spain.

Thanks to the implementation of the Plan Renove 2020, we foresee a much more dynamic Spanish new car market for the remainder of the year and have accordingly upgraded our Spain 2020 Forecast from 827.000 (-36%) to 920.000 (-29%). Looking at sales by channel, in July private sales are the sole responsible for the market uptick, being the main beneficiaries of the cash-for-clunkers scrappage plan with volumes up year-on-year for the first time in the past year at +6.9% to 61.931 and 52.5% share vs. 49.7% a year ago. Company sales edge down -0.2% to 40.364 and 34.2% share vs. 34.7% in June 2019 while rental sales continue to suffer from the implosion of tourism in the region at -14.5% to 15.634 and 13.3% share vs. 15.7% a year ago. Year-to-date, private sales also fare best at -36.4% to 224.585 and 49.1% share vs. 43.7% over the same period last year, while company sales are off -37.2% to 160.446 and 35% share vs. 31.6% a year ago and rental volumes implode -63.7% to 72.751 and 15.9% share vs. 24.8% in 2019. The country’s largest region by far, Madrid (+10.9%) is pulling the national market up thanks to 43.818 sales in July, with Pais Vasco (+34.1%), Navarra (+21.2%), Castilla Leon (+17.2%), Galicia (+16.3%) and Cantabria (+10.8%) the most dynamic whereas Canarias (-48.5%) remains devastated by the lack of tourism and Cataluña (-2.7%) is still in negative partly due to partial lockdowns currently in place in the province.

BMW surges 44.3% partly thanks to the X2 (+383.2%).

In the brands ranking, Volkswagen (+19.2%) and Peugeot (+10.5%) vastly outperform the newly positive market with sturdy double-digit gains, trusting the Top 2 spots like in June and relegating YTD leader Seat (-25.7%) to #3. Just below, Renault (+28.8%) and Toyota (+33.8%) are even more dynamic, joined by Mercedes (+32.8%) and Kia (+26%) in the remainder of the Top 10. Ford (+6.8%) also outpaces the market to leap back inside the Top 10 vs. #14 so far in 2020 but Hyundai (-6.8%) and Citroen (-2.1%) still haven’t got the message about market recovery. Further down, Volvo (+51.4%), BMW (+44.3%), Porsche (+28.9%), DS (+28%), Mazda (+23.4%), Land Rover (+16.5%) and Mini (+13.6%) all gallop ahead while among smaller brands Dongfeng Sokon (+233.3%), Ferrari (+66.7%), Cupra (+53.2%)  and Lamborghini (+50%) stand out. In the naughty corner: Tesla (-92.9%!), Smart (-75.4%), Opel (-46.4%), Jaguar (-40.5%), Mitsubishi (-39%), Jeep (-31.6%), Fiat (-24.6%) and Suzuki (-23.7%). 

Volvo sales are up 51.4% thanks to the XC40 (+188.9%).

Model-wise, the Renault Clio (+43.8%) repeats at #1 but by the skin of its teeth: only 14 units above the Dacia Sandero (-20.5%), leader a year ago. The Peugeot 2008 surges 59.1% year-on-year to step onto the Spanish podium for the very first time, eclipsing its precious record ranking of #4 hit in October 2018 and 2019. The Seat Leon (-28%) is still catching its breath as the new generation arrives in dealerships across the country, meanwhile retaining the YTD top spot with over 12.200 sales. The Seat Arona (-30%) rallies back up 16 ranks on June to land at #5 both for the month and YTD. The Ford Focus (+74.8%), Toyota Yaris (+60.9%), Renault Megane (+572%) and VW Golf (+25.6%) all post fantastic gains in the remainder of the Top 10, with only the Nissan Qashqai (-22.2%) in difficulty. Further down the Top 50, the BMW X2 (+383.2%), Volvo XC40 (+188.9%), Mercedes GLA (+117.5%), VW T-Cross (+110.3%), Kia Niro (+90.8%), Citroen C5 Aircross (+72.2%), Audi A3 (+56.7%), Renault Captur (+46.8%), Dacia Duster (+44.6%), Toyota RAV4 (+42.9%) and C-HR (+33.3%) also shine, meaning spectacular year-on-year gains are almost the monopoly of SUVs. The Ford Puma (#39), Mazda CX-30 (#40), Kia Xceed (#47) and Skoda Kamiq (#75) top recent launches.

The Peugeot 208 is the best-selling EV in Spain in July.

Looking at alternatively fuelled vehicles, the BEV segment shoots up 102.4% year-on-year in July to 1.496 units and is up 7.7% so far in 2020 to 6.674, PHEV volumes soar 379.5% this month to 2.388 and up 98.9% YTD to 7.951 and HEV sales jump 80.6% to 18.168 in July and up 6.5% to 64.313 so far this year. The Peugeot 208 is the best-selling EV in Spain in July with a 17% market share, distancing the Renault Zoe (+29.3%), Seat Mi and Kia Niro (+123.9%). In the PHEV charts the Kia Niro (+275%) distances the new Ford Kuga and the Hyundai Ioniq (+521.4%) while the new Volvo XC40 and Renault Captur round out the Top 5 while the HEV charts are dominated by Toyota with the Corolla (+12%), C-HR (+34.2%) and RAV4 (+50%) in the lead above the new Fiat 500. Notice also the Ford Puma at #5 year-to-date.

Previous month: Spain June 2020: Sales off another -36.7%, Renault Captur, VW T-Roc break ranking records

One year ago: Spain July 2019: Dacia Sandero repeats at #1, Seat Arona on podium in market down -8.3%

Full July 2020 Top 45 All-brands and Top 265 All-models below.